India, Indonesia Expand Economic Ties With Five Key Pacts as Leaders Push Tech, Infrastructure Collaboration
NEW DELHI, investortrust.id—Indonesian President Prabowo Subianto and Indian Prime Minister Narendra Modi oversaw the signing of five bilateral agreements spanning health, digital innovation, maritime security, and cultural exchange during a high-profile meeting here Saturday, as business leaders from both nations urged faster economic integration to capitalize on growing strategic alignment.
Prior to the leaders’ joint statement, Indonesian Chamber of Commerce (Kadin) Chairman Anindya Bakrie and Confederation of Indian Industry (CII) President Ajay S. Shriram presented a roadmap from the third India-Indonesia CEO Forum, held earlier in the day. The document, received by Indonesian Foreign Minister Sugiono and Indian External Affairs Minister Subrahmanyam Jaishankar, called for governments to “prioritize two-way trade and investment” and address bilateral trade barriers while fostering partnerships in sustainable development and inclusive growth.
Twenty-five CEOs from each country—representing healthcare, agriculture, manufacturing, energy, and technology sectors—participated in the forum, which coincided with Prabowo’s state visit. The CEOs emphasized exploring joint ventures in domestic and third-country markets, particularly in ASEAN.
Indonesian President Prabowo Subianto and Indian Prime Minister Narendra Modi witness the exchange of an MoU between Minister for Cultural Affairs Fadli Zon and his Indian counterpart at Hyderabad House in New Delhi, Saturday, Jan 25, 2025. Photo: Investortrust.id/Primus Dorimulu.
Key Agreements
The leaders witnessed the exchange of five memorandums of understanding (MoUs). First in healthcare cooperation, the two countries agreed on collaboration between Indonesia’s Health Ministry and India’s Ministry of Health and Family Welfare. Second, a partnership between Indonesia’s Food and Drug Monitoring Agency and India’s Pharmacopoeia Commission for Traditional Medicine on the traditional medicine quality assurance.
Third agreement was in digital development, a joint initiatives between Indonesia’s Communications Ministry and India’s Ministry of Electronics and Information Technology. Fourth, in maritime security, the nations would enhanced coordination between Indonesia’s Maritime Security Agency and the Indian Coast Guard. Lastly, the agreement on cultural exchange, a 2025–2028 program would link the two nations’ culture ministries.
Indonesian President Prabowo Subianto and Indian Prime Minister Narendra Modi witness the exchange of an MoU between Foreign Affairs Minister Sugiono and India’s Minister of External Affairs Subrahmanyam Jaishankar at Hyderabad House in New Delhi, Saturday, Jan 25, 2025. Photo: Presidential Secretariat Press Bureau/Laily Rachev.
Indonesia and India exchanged bilateral memorandums of understanding (MoUs) across four sectors, with Indonesia’s Communications and Digital Minister Meutya Hafid, Health Minister Budi Gunadi Sadikin, Foreign Minister Sugiono, and Culture Minister Fadli Zon representing Jakarta. India’s External Affairs Minister Subrahmanyam Jaishankar exchanged all agreements on behalf of New Delhi.
Indonesian President Prabowo Subianto and Indian Prime Minister Narendra Modi witness the exchange of an MoU between Communications and Digital Minister Meutya Hafid and India’s Minister of External Affairs Subrahmanyam Jaishankar at Hyderabad House in New Delhi, Saturday, Jan 25, 2025. Photo: Presidential Secretariat Press Bureau/Laily Rachev.
Sector-Specific Collaboration
Prabowo stressed urgency in accelerating economic ties, stating he had directed his team to “streamline bureaucracy and cut red tape” to attract Indian investment. “We are opening our economy to infrastructure investment and invite India to participate in Indonesia’s infrastructure programs across all sectors,” he said.
Modi highlighted shared priorities in artificial intelligence, renewable energy, and digital public infrastructure, building on bilateral trade that crossed $30 billion in 2023.
Indonesian President Prabowo Subianto and Indian Prime Minister Narendra Modi witness the exchange of an MoU between Health Minister Budi G. Sadikin and India’s Minister of External Affairs Subrahmanyam Jaishankar at Hyderabad House in New Delhi, Saturday, Jan 25, 2025. Photo: Presidential Secretariat Press Bureau/Laily Rachev.
Economic Priorities
The CEO Forum urged both governments to leverage “new areas of cooperation in a changing global landscape,” echoing commitments from their 2018 meeting. Prabowo described Saturday’s talks as “intensive and open,” adding, “Prime Minister Modi and I discussed many key sectors of mutual interest.”
The agreements signal a push to transform historical ties—rooted in cultural exchanges and maritime links—into a modern economic partnership. With both nations seeking to counterbalance China’s regional influence, their collaboration could reshape supply chains and tech ecosystems in the Indo-Pacific.