Indonesia identified cooperation projects worth US$32 billion through business matching activities carried out during the ASEAN-Indo-Pacific Forum (AIPF), held on September 5-6. As the organizer of the AIPF, which is the flagship event of the 43rd ASEAN Summit, Indonesia is also seeking cooperation for projects from other countries with a total value of US$810 million.
Vice Minister of Foreign Affairs Pahala Nugraha Mansury shared a presentation on the Indonesia’s Plan to Develop Green Infrastructure on the second day of ASEAN-Indo-Pacific Forum (AIPF) at Mulia Hotel, Wednesday (6/9/2023). [Image: Media Center KTT ASEAN 2023/Galih Pradipta/aww.]
“Although those (cooperation projects) had not been able to be finalized at today’s meeting, we hope the business matching will be able to boost cooperation and real understanding of the investment needs expected by each country,” Vice Minister of Foreign Affairs Pahala Mansury said in a press conference about the AIPF in Jakarta on Wednesday (6 September 2023).
The business matching activities involved around 185 domestic and international investors, including PT Bank Mandiri Tbk, Bank Permata, Bank SBI Indonesia, Bank CCB Indonesia, PT Bank Jawa Barat, PT Astra Infrastruktur, PT Amman Mineral Tbk, Dian Swastatika Sentosa, AIIB, Standard Chartered, Sumitomo (SMBC), Commerzbank, ACWA (Saudi Arabia), EDF Energy (France), KEPCO (South Korea), IGNIS (Spain), China Railway Corporation, Sinohydro, China State Construction Engineering, Siemens (Germany), Inpex Geothermal (Japan), British Columbia (Canada) and Actis (the UK).
The business sectors promoted through the AIPF included the development of new and renewable energy, hydrogen, ammonia, alumina refinery, battery supply chains, toll road infrastructure, and ports.
Indonesia put more focus on cooperation with international partners for strategic projects in the fields of energy and oil and gas (five projects), toll-road (nine projects), ports (five projects), health (six projects), fertilizer (three projects), infrastructure (ten projects), tourism (nine projects) and electric vehicle battery ecosystem and supply chains (three projects).
According to Vice Minister of State-Owned Enterprises (SOEs) Rosan Roeslani, the sectors that attracted many investors’ interest are green energy and electric vehicle battery ecosystem.
“There were also many who wanted to participate in the digitalization sector because they could see that there is a lot of our people’s potential that has not been reached by formal financing,” he said. He mentioned that some of the largest SOEs in Indonesia, such as Pertamina, Pupuk Indonesia, PLN, Pelindo, Jasa Marga, MIND ID, and Injourney also participated in the AIPF.
Also participated The National Development Planning Agency (Bappenas), which could become a platform to support the acceleration of investment for several infrastructure projects such as Demak-Tuban, Tuban-Gresik, Tasikmalaya-Gedebage-Ciamis toll roads and the Jatiluhur Drinking Water Supply System.
ASEAN member states such as Brunei, Myanmar, Thailand, Malaysia, and the Philippines presented potential projects in the telecommunications and infrastructure sectors.
ASEAN state members’ leaders, namely President of the Philippines Ferdinand Marcos Jr., the Prime Minister of Singapore Lee Hsien Loong, the Head of Delegation of the Kingdom of Thailand Sarun Charoensuwan, the Prime Minister of Viet Nam Pham Minh Chinh, the Prime Minister of Lao PDR Sonexay Siphandone, the Sultan of Brunei Darussalam Hassanal Bolkiah, the Prime Minister of Cambodia Hun Manet, the Prime Minister of Malaysia Dato’ Seri Anwar Ibrahim, and the Prime Minister of Timor Leste Xanana Gusmao were also present.
Three world leaders were also present as keynote speakers in the leaders talk session, namely Japanese Prime Minister Fumio Kishida, Australian Prime Minister Anthony Albanese, and Canadian Prime Minister Justin Trudeau.
Mansury said that those world leaders emphasized that the priority going forward for the strategic partnership with ASEAN will focus on sustainable cooperation sectors, such as the development of clean energy, innovative and sustainable financing, and the development of green infrastructure.
Mansury said that those leaders emphasized that the priority going forward for the strategic partnership with ASEAN will focus on sustainable cooperation sectors, such as the development of clean energy, innovative and sustainable financing, and the development of green infrastructure.
For more information, please contact: Usman Kansong, Director General of Information and Public Communication Ministry of Communication and Information, Indonesia
Through the ASEAN-Indo-Pacific Forum (AIPF) held in Jakarta on 5-6 September 2023 as the flagship event of the 43rd ASEAN Summit, Indonesia showcased 93 cooperation projects worth US$38.2 billion and 73 potential projects worth US$17.8 billion, to encourage cooperation among ASEAN member countries and its partners in the Indo-Pacific region. With a contribution of 64 percent to global economic growth, the Indo-Pacific is considered a strategic region where cooperation should be promoted instead of geopolitical rivalries and conflict, according to Vice Foreign Minister Pahala Nugraha Mansury.
“AIPF is expected to present the habit of cooperating and building together among ASEAN countries in the Indo-Pacific,” Pahala said during a press briefing after the forum’s opening in Jakarta on Tuesday.
The discussions and business-matching agenda during the two-day forum focus4d on three primary areas of cooperation, including green infrastructure and resilient supply chains, innovative sustainable financing, digital transformation and creative economy.
Those sectors, he said, are expected to be new sources of growth in the ASEAN – which is estimated to grow by 4.5 percent this year and the next, according to IMF.
As part of Indonesia’s ASEAN chairmanship, the AIPF has been held as a platform for promoting constructive dialogue, and concrete collaboration between SOEs and the private sector. “ASEAN is the future and epicentrum of growth. It plays a significant role in the Indo-Pacific region,” SOEs Deputy Minister Rosan Roeslani stated.
From the Indonesian side, the country offers some cooperation in the development of an alumunium shelter worth USD1.8 billion, the development of Benoa Port in Bali worth USD4.3 billion, as well as a project of a fertilizer factory, toll road, and special economic zone in Sanur, Bali.
During the AIPF, Indonesia also promotes cooperation in green infrastructure and sustainable financing in developing the New Capital Nusantara mega-project in East Kalimantan.
AIPF was inspired by the ASEAN Outlook on Indo-Pacific (AOIP) initiated by Indonesia and adopted by ASEAN member countries in 2019. It aims to strengthen an inclusive regional architecture, encourage collaboration, strengthen mutually beneficial cooperation, and take the existing opportunities in the Indo-Pacific region.
AIPF is also aligned with the theme of this year’s ASEAN Summit: making ASEAN the epicenter of growth while maintaining peace, security, stability, and prosperity in the Indo-Pacific. The ASEAN region is considered to have sufficient capital to become the center of the world’s economic growth, with a collective gross domestic product (GDP) of US$ 3.3 trillion in 2021.
For more information, please contact: Usman Kansong, Tel. +62-816785320 Director General of Information and Public Communication Ministry of Communication and Information, Indonesia
The 43rd ASEAN Food Security Reserve Board (AFSRB) meeting hosted by Indonesia on June 7-8, 2023, has discussed food security as one of the concerns of Southeast Asian countries since the world is facing the threat of a global food crisis due to climate change, El Nino phenomenon, and geopolitical conflicts.
(AFSRB) meeting in Bogor, West Java, on Wednesday (June 7, 2023). (ANTARA/HO-Bapanas/FR)”>
National Food Agency (Bapanas) Head Arief Prasetyo Adi during the ASEAN Food Security Reserve Board (AFSRB) meeting in Bogor, West Java, on Wednesday (June 7, 2023). (ANTARA/HO-Bapanas/FR)
The 43rd AFSRB meeting, held in Bogor District, West Java Province, was attended by representatives of all ASEAN member countries, the ASEAN Secretariat, the AFSRB Secretariat, the ASEAN Plus Three Emergency Rice Reserve (APTERR) Secretariat, and the ASEAN Food Security Information System (AFSIS) Secretariat.
“We have to take concrete action to address the potential global food crisis, including various other risks threatening the food system,” the Head of Indonesia’s National Food Agency (NFA) Arief Prasetyo Adi said. Therefore, it is important to ensure the stability, availability, accessibility, and wise utilization of the food stocks in the region.
One of the attempts to address food and nutrition security dynamics is by strengthening the commitment of ASEAN member countries through the establishment of an ASEAN Leaders’ Declaration regarding food security. It is expected to be endorsed by the leaders of ASEAN member countries at the 43rd ASEAN Summit scheduled to be held in Jakarta in September 2023.
The ASEAN Leaders’ Declaration on Strengthening Food Security and Nutrition in Time of Crises is one of the Priority Economic Deliverables (PEDs) of Indonesia’s chairmanship in ASEAN 2023 as well as the topics in the 43rd AFSRB meeting.
The document will encourage the establishment of a cooperation mechanism among various domestic institutions of ASEAN member countries in the agriculture, trade, finance, and transportation sectors to strengthen food security in the region. The cooperation mechanism also aims to bolster regional supply chains and sustainable farming.
Apart from the declaration, the meeting also brought attention to the recent food issues in each member country, so that problems can be solved through regional cooperation. Representatives of each Southeast Asian country would report on food commodity availability, and the forum would determine which and how much food resource should be reserved.
As quoted from the Indonesian Foreign Affairs Ministry’s website, the ongoing Russia-Ukraine conflict had disrupted the global supply chain, resulting in an increase in food prices by up to 30 percent. The condition also affects ASEAN member countries. The average inflation rate in the countries reached 15 percent in 2023 so far.
The NFA, as a governmental institution responsible for maintaining food security in Indonesia, developed a national food reserve and distribution system to anticipate the global food crisis potential. The agency develops collaboration with related ministries and institutions, State-owned Enterprises, universities, non-governmental organizations, agricultural and farmer associations, and the private sector as well as international stakeholders.
Deepening trade and investment ties with large, fast-growing markets such as the Association of Southeast Asian Nations (ASEAN) will support Canada’s long-term growth, create good jobs, and ensure a strong, resilient economic recovery from the COVID-19 pandemic.
Today, the Honourable Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development, met virtually with ASEAN Economic Ministers at the ASEAN Economic Ministers (AEM) – Canada Consultations, where they announced that Canada and ASEAN have agreed to proceed with negotiations toward a comprehensive Free Trade Agreement (FTA), marking an historic milestone in the Canada-ASEAN relationship.
The 10th AEM-Canada Consultations meeting was co-chaired by Minister Ng and His Excellency Dato Dr. Amin Liew Abdullah, Minister at the Prime Minister’s Office and Minister of Finance and Economy II, Brunei Darussalam, and included a briefing by senior representatives from the Canada-ASEAN Business Council.
At the virtual meeting, the ministers agreed to a joint statement highlighting the potential for an FTA to help diversify supply chains, increase trade and investment, and reinforce Canada and ASEAN’s shared commitment to open markets and rules-based trade.
Canadians expressed a high level of support for an FTA with ASEAN during public consultations carried out by the Government of Canada. A report of key themes identified through the consultations can be found on Global Affairs Canada’s website.
Minister Ng will table a Notice of Intent to enter into FTA negotiations with ASEAN as well as Canada’s negotiating objectives, in the House of Commons, consistent with the amended Policy on Tabling of Treaties in Parliament. Both items will be tabled in advance of a first round of negotiations in accordance with the timelines identified in the amended policy.
“The commercial relationship between Canada and ASEAN has significant potential for growth. Proceeding with negotiations on a comprehensive free trade agreement with ASEAN provides an important opportunity to secure enhanced market access for Canadian business to supply chains in the Indo-Pacific region, create new opportunities for our businesses in this rapidly growing market, and drive long-term job creation and sustainable, inclusive growth for generations to come. This is a significant milestone in the renewal and deepening of Canada’s economic partnerships and commercial engagement across the Indo-Pacific.”
– Mary Ng, Minister of International Trade, Export Promotion, Small Business and Economic Development
With a combined GDP of $5 trillion and a population of approximately 650 million, ASEAN represents the world’s fifth-largest economy and third-most populous consumer market.
As a bloc, the 10 ASEAN member states comprise Canada’s sixth-largest trading partner.
Bilateral merchandise trade between Canada and ASEAN reached $26.7 billion in 2020, while services trade amounted to $5.8 billion in 2020, with further opportunity for growth.
ASEAN is a fast-growing and dynamic market with increasingly important opportunities in sectors such as agriculture and agri-food, natural resources, fish and seafood, clean technology, infrastructure, and financial services.
According to the ASEAN-Canada FTA Joint Feasibility Study, an FTA would result in a US$7.8 billion increase in bilateral trade between ASEAN member states and Canada.
The 45th anniversary of Canada-ASEAN relations will be celebrated in 2022.
Alice Hansen
Press Secretary
Office of the Minister of International Trade, Export Promotion, Small Business and Economic Development
613-612-0482
Alice.Hansen@international.gc.ca
