JAKARTA - Finance Minister Purbaya Yudhi Sadewa offers five strategies to strengthen Indonesian investment and trade with South Korea. The government wants the cooperation between the two countries not to stop at business forums, but to enter into concrete projects, ranging from infrastructure, supply chains, to electric vehicle ecosystems.
Purbaya conveyed this at the Korea-Indonesia Economic Partnership Forum 2026 in Jakarta, Friday (26/6).
According to Purbaya, the Indonesian economy is still quite strong amid global uncertainty. In the first quarter of 2026, the Indonesian economy grew 5.61 percent, while inflation was at the level of 3.08 percent.
"Indonesia's economic performance remains stronger than some of its counterparts. This resilience is reflected in Indonesia's strong economic growth and relatively low inflation," said Purbaya.
He said economic resilience was also supported by a trade balance surplus for 72 consecutive months until April 2026. Indonesia's foreign exchange reserves are equivalent to 5.5 months of imports. In the financial sector, credit is still growing in the double-digit range with safe liquidity.
To attract South Korean investment, the government has prepared five strategies. First, accelerate the completion of investment barriers through cross-agency coordination in the Bottlenecking Task Force. The government said that handling investor complaints would be directly monitored by the President so that the business climate would be more certain.
Second, maximize the Indonesia-Korea Comprehensive Economic Partnership Agreement or IK-CEPA. This agreement provides room for exemption and tariff reductions to strengthen trade and supply chain integration between the two countries.
Third, optimize the Economic Development Cooperation Fund or EDCF worth 1.5 billion US dollars for the period 2022-2026. This fund is directed to priority projects, such as clean water, sanitation, information and communication technology infrastructure, and smart cities.
Fourth, strengthen the industrial and electric vehicle ecosystem. Purbaya invites South Korean companies to combine their technology with Indonesia's wealth of critical minerals. Indonesia is currently said to control around 50 to 60 percent of global nickel supplies.
Fifth, the government promises policy certainty, healthy fiscal management, green growth, and competitive rules for long-term investment.
"I am very confident that deeper cooperation with South Korea through an advanced trade framework, strategic infrastructure financing, and a sustainable circular battery ecosystem will provide significant benefits for both countries," said Purbaya.
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