Jakarta, Indonesia Sentinel — Indonesian and Saudi Arabia business leaders have signed a series of memorandums of understanding (MoUs) totaling $27 billion in investment, focusing on clean energy, petrochemical industries, and aviation fuel services.
The agreements were announced during a bilateral meeting between Indonesian President Prabowo Subianto and Saudi Crown Prince and Prime Minister Mohammed bin Salman (MBS) at Al-Salam Palace in Jeddah on Wednesday, July 2.
“The two sides welcomed the signing of several agreements and MoUs during this visit between private sector institutions, amounting to around $27 billion across key sectors including clean energy, petrochemicals, and aviation fuel services, reflecting their shared aspiration for an advanced economic partnership,” a joint statement released by the Indonesian Presidential Secretariat read on Thursday (July 3).
The high-level meeting underscored the robust economic ties between the two nations. Over the past five years, Saudi Arabia has emerged as Indonesia’s key trade partner in the Middle East, with bilateral trade reaching $31.5 billion.
Both leaders expressed optimism over the potential synergies between Saudi Arabia’s Vision 2030 and Indonesia’s Vision 2045, calling them a strategic framework for expanding cross-sectoral collaboration and accelerating economic transformation in both countries.
Among the highlights of the agreement is a comprehensive cooperation roadmap in the energy sector. The deal includes partnerships in crude oil and refined product supplies, refinery and petrochemical development, renewable and alternative energy sources, carbon management, clean hydrogen technology, and the application of artificial intelligence to support sustainable energy transitions.
“The two parties agreed on the importance of collaboration in developing and implementing renewable energy and storage projects, while also advancing technology transfers, capacity building, and joint research initiatives to support national energy transitions,” the statement continued.
President Prabowo also commended Saudi Arabia’s pivotal role in global energy markets, especially in maintaining oil supply stability and ensuring energy security for international markets.
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Beyond energy, the two governments agreed to deepen cooperation in the mineral sector, covering geological surveys, mining exploration, mineral processing, and the adoption of modern technologies. To move from agreements to action, Indonesia and Saudi Arabia will jointly develop a roadmap to foster an investor-friendly environment, improve capital flow, and resolve regulatory barriers.
“This strategic partnership marks a crucial step in strengthening long-term economic cooperation between Indonesia and Saudi Arabia,” President Prabowo said. “We have agreed to enhance cooperation in all areas.”
The MoUs signal both countries’ shared commitment to sustainable, green, and inclusive development amid the rapidly evolving global economic landscape.
(Raidi/Agung)
