Indonesian President Prabowo Subianto was the chief guest for India’s 76th Republic Day in 2025. 

India-Indonesia Relations

• Strategic Location: Indonesia’s unique geographical position makes it a key player in global trade and maritime security. 
  • Situated at the crossroads of major international shipping routes, particularly the Strait of Malacca, and its proximity to India’s Andaman and Nicobar Islands, Indonesia holds immense strategic importance in the Indo-Pacific region.
• Collaboration: India and Indonesia have been actively collaborating to enhance maritime connectivity and strategic cooperation, particularly focusing on the development of the Sabang Port in Indonesia’s Aceh province and strengthening links between Aceh and India’s Andaman and Nicobar Islands.

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• Shared Aspirations: Both India and Indonesia aim to elevate their global influence while navigating geopolitical challenges. Prabowo’s vision of strategic autonomy aligns with India’s approach to fostering multipolarity.
• G20 Presidencies: India and Indonesia’s consecutive presidencies in 2022 and 2023 fostered mutual cooperation. 
  • Regular consultations between foreign ministers Retno Marsudi and S. Jaishankar laid the foundation for deeper engagement.

Key Areas of Collaboration

• Leveraging Multilateral Platforms: Indonesia’s 2023 BRICS membership offers a global platform for India and Indonesia to collaborate on economic and strategic issues. Leveraging BRICS can align with Japan’s regional policies and facilitate broader trilateral coordination.
• Managing the China Factor: While Indonesia remains economically tied to China, Prabowo’s independent policymaking creates room for India-Indonesia alignment on shared interests.
• Maritime Disputes: Despite strong economic ties, Indonesia and China have encountered tensions over maritime boundaries. China’s nine-dash line claim in the South China Sea overlaps with Indonesia’s Exclusive Economic Zone (EEZ) around the Natuna Islands.
• Indo-Pacific Partnership: Initially reticent, Indonesia now actively supports the Indo-Pacific framework through ASEAN’s Outlook on the Indo-Pacific (AOIP). 
  • AOIP’s synergy with India’s Indo-Pacific Oceans Initiative (IPOI) enables collaboration on maritime resources, sustainability, and regional security.
• India-Indonesia-Australia Trilateral: While the framework exists, it lacks actionable content or significant progress. Prabowo’s visit to New Delhi, following engagement with Australia, provides an opportunity to energize this partnership. Focus areas include:
  • Maritime security.
  • Infrastructure development.
  • Regional trade facilitation.
• IORA and IPOI Synergy: India’s upcoming chairmanship of the Indian Ocean Rim Association (IORA) can further bolster trilateral cooperation by building upon IPOI initiatives.
• India-Japan-Indonesia Trilateral: Japan’s Official Security Assistance (OSA) policy, which includes Indonesia, opens avenues for trilateral collaboration on defense and regional stability.
  • Maritime governance, infrastructure, and defense collaboration are key areas for this partnership.
• Indo-Pacific Oceans Initiative (IPOI): Both Indonesia and Japan are crucial players in supporting India’s IPOI, particularly in the maritime resources and security pillars. Collaborative projects within the IPOI framework can foster sustainability and strengthen regional cooperation.
  • ASEAN’s Outlook on the Indo-Pacific (AOIP) emphasizes inclusivity, cooperation, and ASEAN centrality in the evolving regional architecture. 
  • India supports this outlook, recognizing ASEAN’s strategic role and seeking to harmonize its Act East Policy with the AOIP through initiatives like SAGAR and the IPO
• Engaging ASEAN Platforms: India and Indonesia can strengthen their impact on ASEAN-plus-one, East Asia Summit (EAS), and ASEAN Regional Forum (ARF) through prior consultations.
• Myanmar Issue: While India and Indonesia have differing views on Myanmar, continued dialogue and collaboration can foster mutual understanding and effective policy coordination.
• Indonesia in BIMSTEC: Inviting Indonesia to join the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC) would strengthen its integration with India’s eastern neighborhood.
  • Benefits of Membership: Enhanced connectivity between Southeast and South Asia. Greater regional economic cooperation and security collaboration.

Challenges in India-Indonesia Relations

• Challenges in Alignment: Differences in voting patterns at global forums, such as the UN, underscore the need for sustained dialogue. 
  • Building rapport between Jaishankar and Indonesia’s new foreign minister, Sugiono, is critical for long-term collaboration.
• Divergent Perspectives Differences on issues like Myanmar and regional governance require continued dialogue to find common ground.
• Economic Dependency on China: Indonesia’s reliance on China for economic growth complicates alignment with India on sensitive geopolitical issues.
  • China stands as Indonesia’s largest trading partner, with bilateral trade reaching approximately $149.09 billion in 2022, marking a 19.8% increase from the previous year. 
• Lack of Content in Trilateral Frameworks: Existing trilaterals with Australia and Japan need clear agendas to drive meaningful collaboration.

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Conclusion

By fostering closer collaboration with Indonesia, India can strengthen its influence in the Indo-Pacific, ensuring the stability of critical trade routes and promoting a free and open maritime domain.

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