Enduring Relations

The implementation of IA-CEPA amid the pandemic signifies the Indonesia-Australia’s commitment to recover and counter future challenges together.

- Marella Putri

While the pandemic has pressured some countries into protectionism, Indonesia and Australia have pursued the opposite strategy, seeking a faster recovery and stronger economic bond by building on their long-standing bilateral relationships.

The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) negotiations began in 2012 and it officially came into force on 5th July 2020. It was a crucial juncture for both countries, just a few months following the 70-year celebrations of Indonesia-Australia diplomatic relations and the start of the COVID-19 pandemic, which forced many countries to close their borders. On top of lifting remaining barriers in trade and services, the purpose of IACEPA is to strive for mutual economic benefits and foster people-to people engagement. It also serves as a key to recovery, providing a framework for both parties to survive and emerge stronger from the health and financial crisis brought on by the widespread pandemic.

As challenging as the current situation sounds, the Australian Ambassador to Indonesia, HE Penny Williams PSM, is optimistic about the Indonesia-Australia bilateral relationship going forward. Williams, the first woman to hold the position, took the baton from her predecessor, HE Gary Quinlan AO, in September.

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