India and Indonesia Deepen Strategic Ties in Modi-Prabowo Meeting

NEW DELHI, investortrust.id—Indian Prime Minister Narendra Modi and Indonesian President Prabowo Subianto pledged to expand defense, economic, and technological collaboration during a bilateral summit on Saturday, Jan. 25, 2025, signaling a renewed push to transform one of Asia’s oldest partnerships into a modern strategic alliance.

The leaders announced concrete steps to bolster defense ties, including joint manufacturing initiatives and supply-chain integration. Indonesia confirmed it recently ratified a bilateral defense cooperation pact, building on a maritime safety agreement signed during the summit to strengthen crime prevention, search-and-rescue operations, and capacity-building.

“We have decided to work together in defense manufacturing and supply chain,” Modi said, emphasizing cooperation in maritime security, cybersecurity, counterterrorism, and deradicalization.

With bilateral trade crossing $30 billion in 2023, Prabowo vowed to accelerate economic collaboration, declaring he had ordered his administration to “streamline bureaucracy, reduce excessive regulations, and place bilateral interests at the forefront.”

“If necessary, we will prioritize this relationship for the sake of the long-term strategic partnership that we highly uphold,” Prabowo said. He invited Indian private-sector investment in Indonesia’s infrastructure, stating, “We are opening our economy to investment participation in infrastructure and we invite India to take part in Indonesia’s infrastructure programs in all fields.”

Modi highlighted plans to diversify trade baskets and deepen cooperation in fintech, artificial intelligence, the Internet of Things, and digital public infrastructure. "We (India-Indonesia) have decided to further strengthen cooperation in areas such as FinTech, Artificial Intelligence, Internet of Things and Digital Public Infrastructure. India is sharing knowledge related to health and food security with Indonesia...Disaster management authorities from both nations will participate in joint exercises," Modi said.

The meeting coincided with Indonesia’s role as chief guest at India’s 75th Republic Day celebrations—a nod to history, as Jakarta held the same honor during India’s first Republic Day in 1950. An Indonesian marching contingent joined the parade for the first time, a gesture Modi called “a matter of great pride.”

Prabowo thanked India for supporting Indonesian students and expressed interest in hosting Indian educational institutions. “We have learned from your successful programs and sent our technical teams to study them. Many of these programs have now been implemented in Indonesia,” he said.

Cultural collaboration also advanced, with India agreeing to assist in conserving Indonesia’s ninth-century Prambanan Hindu temple complex, following prior work on the Borobudur Buddhist temple. "The relations between India and Indonesia are thousands of years old... I am happy that after the Borobudur Buddhist temple in Indonesia, now we will also contribute to the conservation of the Prambanan Hindu temple," Modi said.

Prabowo paid tribute to Mahatma Gandhi at New Delhi’s Rajghat memorial and received a ceremonial welcome at Rashtrapati Bhavan. He later invited Modi to visit Indonesia, stating, “I hope one day to welcome Prime Minister Modi to Indonesia with the same honor I have received here.”

The summit underscores efforts to revitalize a relationship anchored in historical ties but increasingly focused on 21st-century strategic imperatives. With both nations navigating rising geopolitical tensions, their partnership could emerge as a stabilizing force in the Indo-Pacific.