While our economy has been suffering the brunt of being too heavily dependent on investment and trade with and tourists from China, which is now virtually isolated globally because of the coronavirus pandemic, President Joko “Jokowi” Widodo has taken a strategic step to formally expand economic ties with Australia, our closest major neighbor.
The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) signed by Jokowi and Prime Minister Scott Morrison on Monday is to build a stronger and broader framework for the two countries to unlock their vast potential, fostering economic cooperation between businesses, communities and people. The House of Representatives had just ratified the agreement on Thursday.
Indonesia’s trade with Australia has not expanded significantly over the past 70 years of relations because both countries produce largely similar commodities such as minerals and agricultural commodities. Latest data showed their two-way trade over the last