Indonesia Seeks South Korea's Partnership to Boost Industrialisation

Indonesia's President Joko Widodo shakes hands with his South Korean counterpart Park Geun-hye on Monday . — Indonesia’s President Joko Widodo shakes hands with his South Korean counterpart Park Geun-hye on Monday .

Seoul, 09 Sya’ban 1437/17 May 2016 (MINA) – Indonesia wants South Korea to be its partner in accelerating industrialisation in Southeast Asia’s biggest economy.

Indonesian President Joko Widodo, who is in South Korea for a state visit, said there is significant potential for South Korea to invest in Indonesia.

“With the high potential of South Korean investments in various industries, Indonesia intends to make South Korea as a partner to accelerate industrialisation in Indonesia,” said Mr Widodo, after meeting his counterpart President Park Geun-hye in Seoul on Monday (May 16), Mi’raj Islamic News Agency (MINA) reported, uoting CNA.

South Korean investments in Indonesia increased from US$1.12 billion in 2014 to US$1.21 billion last year, .

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Both leaders witnessed the signing of seven Memoranda of Understanding aimed to boost cooperation between the two countries in various fields. One area of cooperation is in establishing Special Economic Zones in Indonesia.

Indonesia also wants to partner South Korea in developing capacity for its steel industry. With this partnership, Indonesia hopes to reduce its dependence on steel imports.

In the creative industry, Mr Widodo hopes to enhance cooperation with South Korea in capacity building and technological assistance.

Even though South Korean investments in Indonesia have been good, bilateral trade between the two countries has declined, from US$22.47 billion in 2014 to US$16.7 billion in 2015.

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“Efforts to increase trade needs to continue,” said Mr Widodo, who elaborated this can be done through the reduction of tariff and non-tariff barriers.

During their bilateral meeting, Mr Widodo and Ms Park also discussed the situation in the Korean Peninsula. Mr Widodo stressed the importance of stability and peace in the Peninsula and urged North Korea to fulfill all of the United Nations resolutions.

On terrorism, Mr Widodo spoke on the need to enhance international cooperation and strengthening the exchange of information and intelligence. (T/R07/R01)

Mi’raj Islamic News Agency (MINA)