Jakarta, February 19, 2025 - Rising geopolitical tensions among major powers such as the United States, the European Union and China have created opportunities for both Indonesia and ASEAN to emerge stronger and more integrated is the main takeaway from the closing session titled ‘Heightening Indonesia’s Role on the Global State: Rowing Between Multiple Reefs’ on the second day of the Indonesia Economic Summit.

H.E. Arif Havas Oegroseno, Vice-Minister of Foreign Affairs of the Republic of Indonesia, said that Indonesia will look more into its neighbours as geopolitical uncertainty is rising “The uncertainty in the world today is actually getting more and more certain,” said Arif Havas Oegroeseno.

Indonesia’s foreign policy approach will remain anchored on ‘independent and active’ principles, said Arif Havas Oegroeseno.

Indonesia will look into increasing the border trades with its immediate neighbors, said the Vice Minister, citing examples from the Malaysia-Thailand relationship where border trade accounts for around 40% of the total trade between both countries.

Yuhki Tajima, Rector, Georgetown SFS Asia Pacific, said that Indonesia should focus on itself, both domestically and regionally, amid rising geopolitical tensions. Furthermore, Indonesia should leverage its strength, strong economic potential, young and tech-savvy population.

Digitalisation push could be the next step to push for strong integration between Indonesia and ASEAN as it will bring more of the region’s population into a single, united economic power, thus opening and extending the region’s potential, according to Yuhki Tajima.

ASEAN should keep reminding itself and everyone that the organization is there for its members, not to accommodate the interest of major powers, said Yuhki Tajima. The sentiment was shared by Arif Havas Oegroeseno: “We are not European Union, and I think we should not be European Union.”

Tony Fernandes, CEO of Capital A, Co-founder of Air Asia, said ASEAN’s key successes for ASEAN is to provide a safe and stable environment. Tony Fernandes said his experience leading the fourth largest airline in Asia has seen an increase in people-to-people interaction in ASEAN. “There are more Indonesians going to Thailand, and there are more Filipinos coming to Malaysia,” said Tony Fernandes.

However, ASEAN countries can always do more in order to increase the free flow of people, goods and capital between its members, according to Tony Fernandes.

Amitav Acharya, Distinguished Professor at the School of International Service, American University, said that while opportunities are rising for Indonesia to take more leadership role in the global stage, domestic and regional focus is commendable. Indonesia should focus on maintaining and improving its three key achievements: Economic growth, political stability and democracy.

About the Indonesia Economic Summit (IES): The Indonesia Economic Summit (IES) is an annual initiative of the Indonesia Business Council (IBC). Initiated as a high-level forum for collaboration and innovation, IES seeks to promote competitiveness, inclusive growth, and sustainable prosperity for Indonesia. This forum reflects IBC’s commitment to advancing Indonesia’s role in the global economic arena.

About the Indonesian Business Council (IBC): The Indonesian Business Council (IBC) is an association of CEOs and business/industry leaders of leading companies in Indonesia, established in February 2023. IBC seeks to promote and strengthen Indonesia’s competitiveness, encourage collaboration, and enhance the contribution of the Indonesian private sector to economic growth and prosperity, through advocacy. https://business-council.id/. For media inquiries, please contact:
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