India – Indonesia Bilateral Relationship
Jan. 24, 2025

Why in the News?

Indonesian President Prabowo Subianto arrived in India ahead of the 76th Republic Day celebrations in New Delhi, where he will be the chief guest.

What’s in Today’s Article?

  • India-Indonesia Bilateral Relationship (Historical, Strategic, Economic, Cultural, etc.) 

India – Indonesia Bilateral Relationship:

  • Historical and Cultural Bonds:
    • India and Indonesia share a relationship that spans over two millennia, rooted in deep cultural and historical ties.
    • Hinduism, Buddhism, and later Islam travelled to Indonesia from India, shaping its cultural and religious landscape.
    • The epics Ramayana and Mahabharata continue to influence Indonesian art and folklore, creating a unique cultural connection.
    • Post-independence, both nations shared aspirations for political sovereignty, economic self-sufficiency, and independent foreign policies, becoming significant voices in the Non-Aligned Movement.
  • Strategic and Diplomatic Engagements:
    • High-Level Visits and Agreements:
      • 2018: Prime Minister Narendra Modi's visit to Jakarta led to the signing of the Comprehensive Strategic Partnership and a shared vision on Indo-Pacific maritime cooperation.
      • 2024: Prime Minister Modi and Indonesian President Prabowo Subianto held discussions on the sidelines of the G20 Summit, emphasizing economic and security cooperation.
      • These engagements underline mutual commitment to regional stability and economic growth.
  • Defense and Security Cooperation: India and Indonesia have a long-standing defense relationship, formalized in 1951 and further strengthened by agreements in 2001 and 2018. Key initiatives include:
    • Joint Military Exercises: Exercises like Garuda Shakti (Army), Samudra Shakti (Navy), and coordinated patrols (IND-INDO CORPAT).
    • Defense Industry Collaboration: The inaugural India-Indonesia Defense Industry Exhibition in 2024 showcased opportunities for cooperation in defense technology and manufacturing.
  • This partnership highlights shared concerns over regional security, particularly in the Indo-Pacific.
  • Economic and Trade Relations:
    • Bilateral Trade: Indonesia is India’s second-largest trading partner in ASEAN. Trade between the two nations was $29.4 billion in 2023-24, driven by:
      • Indian Imports: Coal, crude palm oil, and rubber.
      • Indian Exports: Refined petroleum, telecommunication equipment, and agricultural products.
    • Investment and Connectivity:
      • Indian Investments: Indian businesses have invested over $1.56 billion in sectors like mining, textiles, and infrastructure.
      • Connectivity Boost: Direct flights between major cities like Mumbai-Jakarta and Delhi-Bali have strengthened people-to-people ties and boosted tourism.
  • Cultural and Educational Collaboration:
    • Cultural Engagement: India operates two cultural centres in Jakarta and Bali, promoting yoga, classical dance, and music.
    • Educational Cooperation: Indonesia is a key recipient of Indian scholarships under programs like ITEC and ICCR. Discussions on higher education MoUs aim to deepen collaboration in knowledge sharing.
  • Multilateral Cooperation:
    • India and Indonesia are active participants in multilateral forums like the G20, ASEAN, and IORA.
    • Their partnership extends to maritime security, sustainable development, and regional stability.
  • Future Prospects:
    • India and Indonesia commemorate 75 years of diplomatic relations in 2024, with numerous initiatives celebrating their shared history and future aspirations.
    • Strengthening trade, defense, and cultural cooperation remains central to their relationship, ensuring mutual growth and stability in the Indo-Pacific.

Conclusion:

  • The India-Indonesia bilateral relationship exemplifies a blend of historical camaraderie and strategic collaboration.
  • As two vibrant democracies and emerging economies, their partnership is pivotal in shaping the regional and global landscape.
  • With shared values and mutual respect, India and Indonesia continue to deepen their ties, fostering a prosperous and peaceful future.

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