Albanese, sworn into office on Tuesday after his centre-left Labor party won an increased majority in parliament, said his visit showed the priority Canberra placed on defence and economic ties with Jakarta.
“We’re talking about further strengthening our defence ties and also how we put our economic partnership, how we can build on that with investment,“ he told reporters in Jakarta on Thursday.
Australia struck a defence cooperation treaty with Indonesia last year, and Australia was hosting defence and maritime security training for Indonesian forces, Albanese said.
“Indonesia‘s answer is no, they’ve made it very clear,“ Albanese told reporters on Thursday when asked about the matter.
Australian Strategic Policy Institute senior analyst for defence, Euan Graham, said the Australia-Indonesia relationship has “avoided serious crisis for more than a decade, cooperation continues to move forward incrementally and there is greater stability than before”.
“Jakarta sees China and Russia as vectors of opportunity more than threats and views the U.S. and China primarily through the same lens of great power rivalry. That’s largely at odds with Canberra’s world view,“ he said.
Indonesia is projected to be the fifth largest economy in the world by the end of the next decade.
Indonesia remains a “protected and challenging market” and a competitor to Australia in commodity exports, said Graham.
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