Economist Eko Listiyanto from the Institute for Economic Development and Finance (Indef) emphasized that the geopolitical tensions between Iran and the United States represent an opportunity for Indonesia to expand its strategic trade partnerships. He made these remarks during an interview with Antara News Agency in Jakarta, highlighting the importance of seeking new trade partners to maintain a trade surplus.
Listiyanto explained that Indonesia needs to broaden its trade partnerships rather than solely relying on the United States. He affirmed that this approach will assist the country in facing global economic challenges, especially amid increasing tensions between major powers.
Details of the Event
The economist noted that expanding trade partnerships should include visits to several countries in Europe and Asia, where these regions enjoy relative stability compared to conditions in other areas. He asserted that this step will enhance Indonesia's ability to achieve a sustainable trade surplus.
According to data released by the Indonesian Central Statistics Agency, Indonesia has maintained a trade surplus for 71 consecutive months up to March 2026, primarily supported by non-oil exports, particularly from the manufacturing sector.
Background & Context
Historically, Indonesia has undergone significant transformations in its trade policies, having heavily relied on oil and gas exports. However, changes in the global market have necessitated diversifying the economy and increasing reliance on non-oil sectors. This trend aligns with the Indonesian government's vision to promote sustainable economic growth.
Over the past years, Indonesia has strengthened its trade relations with numerous countries, contributing to an improved trade balance. As geopolitical tensions continue, it appears that the opportunity is ripe for Indonesia to further enhance these relationships.
Impact & Consequences
The geopolitical tensions present an opportunity for Indonesia to bolster its position as a major trading nation in the region. By expanding its trade partnerships, Indonesia can maintain economic stability and achieve sustainable growth amid changing conditions.
This approach may also attract foreign investments, enhancing Indonesia's capacity to develop its infrastructure and improve the living standards of its citizens. Therefore, strengthening trade relations with stable countries could have a positive impact on the Indonesian economy.
Regional Significance
Considering the trade relations between Indonesia and Arab countries, these trends could be mutually beneficial. Indonesia, as a predominantly Muslim nation, can play a vital role in enhancing economic cooperation with Arab countries, particularly in trade and investment sectors.
Moreover, strengthening trade relations with Indonesia could open new avenues for Arab countries in new markets, contributing to sustainable economic development in the region.
In conclusion, the move towards expanding trade partnerships amid geopolitical tensions represents a strategic step for Indonesia and could have positive effects on the Indonesian economy and trade relations with Arab countries.