Indonesia’s Growing Ties with Africa with Billions of Investments Between Them

Rosan P. Roeslani, Indonesia’s Minister of Investment and Head of the Investment Coordinating Board (BKPM), reported that investment between Indonesia and Africa continues to expand, with Indonesia’s total investment in African countries reaching $2.09 billion USD from 2019 to the second quarter of 2024. Meanwhile, African countries have invested $1.73 billion USD in Indonesia during the same period.

Speaking at the Indonesia-Africa Parliamentary Forum (IAPF) in Nusa Dua, Bali, on September 2, 2024, Rosan emphasized Indonesia’s commitment to mutual prosperity through its investments in Africa, noting that Indonesian companies are now operating in eight African nations.

He highlighted several key Indonesian investments, including state-owned energy company PT Pertamina’s activities in the energy sector in Kenya and Tanzania, Medco Energy’s involvement in the oil and gas industry in Mozambique, and Bio Farma and Wings Group’s operations in the pharmaceutical and consumer goods sectors in Kenya.

At the forum, which focused on “Harnessing Trade and Investment Potentials for Inclusive Economic Growth,” Rosan pointed out that bilateral trade between Indonesia and Africa saw significant growth in 2023. Indonesia exports finished products to Africa and imports raw materials while also enhancing investment agreements through Bilateral Investment Treaties (BITs) with African nations to ensure a stable investment climate.

Rebeca Grynspan Mayufis, Secretary General of the United Nations Conference on Trade and Development (UNCTAD), who participated as a panelist, remarked that in the current era of poly-globalization, investment and trade have become more inclusive and decentralized. She predicted that the Global Gross Domestic Product (GDP) will reach $30 trillion USD in the next five years, with one-third of this growth coming from the Global South.

The IAPF was one of several events at the Indonesia-Africa Forum 2024, held from September 1-3, 2024, in Nusa Dua, Bali. Rosan also accompanied President Joko Widodo at the High-Level Forum – Multi Stakeholders Partnership (HLF MSP) 2024, which brought together 1,275 participants from 26 countries.

Have you read?
Countries Most in Debt to the International Monetary Fund (IMF).
Most Successful Unicorn Startups.
$100 Billion Club: Richest People With The 12-Figure Fortunes.
Largest electricity consumers in the world, by country (in terawatt-hours).
Countries that Export the Most Goods and Services.