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Finance

Australian leader visits Indonesia seeking deeper economic and defense ties

Last updated: May 14, 2025 8:00 pm
Oliver James
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3 Min Read
Australian leader visits Indonesia seeking deeper economic and defense ties
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JAKARTA, Indonesia (AP) — Australia’s newly reelected Prime Minister Anthony Albanese met with Indonesian President Prabowo Subianto on Thursday in a visit aiming to strengthen his country’s economic and defense ties with its closest major neighbor.

Albanese arrived in the capital, Jakarta, on Wednesday evening, a day after his new government was sworn in to a second three-year term following an emphatic election victory May 3.

“I am here in Indonesia because no relationship is more important to Australia than this one,” Albanese said in a joint press statement with Indonesian President Prabowo Subianto after a meeting,

Albanese did not comment on media reports that Russia had told Indonesia it wants to base its long-range warplanes in Papua, the most eastern Indonesian province, a plan that was raised as a security issue during the Australian election campaign. Indonesia has told Australia that no such Russian base would be allowed.

“This is the fastest growing region of the world in human history and Indonesia is central to that growth,” Albanese said, adding that Indonesia is projected to be the fifth largest economy by the end of the next decade.

Subianto praised Australia’s support for Indonesia to become member of The Organization for Economic Cooperation and Development and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.

Newly elected Australian prime ministers typically make their first bilateral visit to Asia, usually Indonesia.

In his first visit to Indonesia after his inauguration in 2022, Albanese also visited Makassar, the capital of South Sulawesi province with close ties to Indigenous Australians.

Given their geographical proximity, Indonesia and Australia have traditionally maintained close ties with each other, including in matters of security and defense, despite the fact that each country has chosen to respond differently to the rivalry between the U.S. and China in the region.

The two neighbors last year signed a historic Defense Cooperation Agreement, or DCA, that will allow more complex joint activities and exercises. Canberra hailed the agreement as the “deepest and most significant” defense deal in the two countries’ bilateral ties.

“This is how we can build our shared prosperity and advance our national and regional security,” Albanese said, “This treaty-level agreement, underpinned by the Lombok Treaty, will enable new cooperation in maritime security, counterterrorism, as well as humanitarian and disaster relief.”

Albanese will head on to Rome on Friday morning to attend the inauguration of Pope Leo XIV on Sunday.

___

Associated Press writer Rod McGuirk in Melbourne contributed to this report.

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