THE EU AND INDONESIA
Indonesia – the seventh largest economy in the world and an established G20 member – is a vital partner for the EU. The close relationship is based on shared values, including democracy, human rights and pluralism, and common interests, such as environmental protection, knowledge exchange and global health. With relations that span over 30 years, the EU and Indonesia have made great progress in reducing inequalities, addressing climate change, and supporting private sector development.
EU – INDONESIA
The EU-Indonesia Partnership and Cooperation Agreement (PCA) that came into force in May 2014, has strengthened and expanded cooperation in a wide range of policy areas, including: trade, investment and connectivity; climate change mitigation and the environment; and governance, human rights and security. A Joint Committee oversees the implementation of the PCA, which meets annually to monitor and evaluate progress of existing partnership programmes and explore future initiatives in different sectors.
With Indonesia on track to become the world’s fifth largest economy by 2030 and a high-income country by 2050, economic cooperation continues to be a cornerstone of the EU-Indonesia partnership. Negotiations for a Comprehensive Economic Partnership Agreement (CEPA) – which started in 2016 – reflect this. Once concluded, the CEPA will enhance the benefits of increased investment and increased trade in goods and services in a combined market of over 750 million people.
EU-INDONESIA BUSINESS NETWORK (EIBN) ACHIEVEMENTS
In addition to increasing bilateral trade, investment and business opportunities, the EU is working together with government counterparts and civil society to alleviate poverty through sustainable economic development.
Environment and Climate Change
Mitigating the effects of climate change is an urgent priority. This work includes EU-Indonesia cooperation on the implementation of Nationally Determined Contribution (NDC) under the Paris Agreement, and sustainable forest management.
Skills Development and Knowledge Exchange
The EU supports Indonesia in building human capacity. In addition to skills development and knowledge exchange in government and civil society, EU cooperation supports higher education and the mobility of students and researchers through Erasmus+, the EU programme for education, training and youth, and the EU Research Framework Programmes, including Horizon 2020.
In pursuit of the SDGs, the EU is supporting Indonesia through thematic and regional development cooperation programmes that continue to advance green growth, climate change mitigation and human rights development, as well as capacity building and knowledge exchange in a wide range of areas.
Multilateralism, Peace and Security
The EU and Indonesia have a shared commitment to multilateralism and cooperation in international fora, including the G20, ASEAN, and the United Nations. The EU and Indonesia also cooperate on security matters through the ASEAN Regional Forum (ARF), addressing issues such as maritime security, counter-terrorism and transnational crime. As the host of the ASEAN Secretariat, Indonesia also serves as a hub for the region’s emerging political, security and economic architecture, supporting regional integration and region-to-region relations.
Disaster Preparedness and Response
Through its European Civil Protection and Humanitarian Aid Operations (ECHO), the European Union helps over 120 million victims of conflicts and disasters every year. For instance, the EU has assisted Indonesia in the aftermath of the natural disasters which struck in Lombock, Sulawesi and the Sunda Strait in 2018, and recently provided humanitarian aid to assist communities affected by the coronavirus pandemic, flooding in Kalimantan, as well as to Rohingya migrants.