Canada Boosts Investment in Digital and Green Industries in Indonesia and ASEAN
Main Takeaways
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JAKARTA, investortrust.id - Southeast Asia emerges as a prime global investment destination, and Canada sees immense potential in the region by focusing on digitalization and green industry development in Indonesia.
In December last year, the Indonesian Chamber of Commerce and Industry (Kadin) for International Relations and the Government of Indonesia finalized a Free Trade Agreement (FTA) with Canada. This deal opened new avenues for Canadian investment in pivotal areas, particularly in digital infrastructure and green energy initiatives.
Vice Chairperson of the Indonesian Chamber of Commerce and Industry for International Relations Benardino M. Vega emphasized that this agreement accelerated the entry of Canadian capital into various strategic sectors. He stated that Canada possessed advanced technology and substantial capacity in energy transition, especially in Small Modular Reactors, solar power, and Liquefied Natural Gas.
“This technology aligned with Indonesia’s goal of expanding renewable energy,” Dino said during his meeting with President of the Canada-ASEAN Business Council Wayne Farmer in Jakarta on Friday, Mar 7, 2025.
Beyond energy, Dino explained that digitalization was also a key investment priority. Canada showed a strong interest in investing in digital infrastructure, including artificial intelligence development and technology-based economic transformation in Indonesia.
“Digitalization served as the driving force of economic growth. With Canada’s support, we could accelerate the creation of an inclusive and innovative digital ecosystem,” he added.
At the regional level, Canada was in the process of finalizing a free trade agreement with ASEAN, which was expected to strengthen overall economic ties. Dino noted that Canada’s cooperation with ASEAN was more multilateral in nature and included cross-border initiatives such as joint energy transition programs and digitalization projects.
He added that Canada’s approach to Indonesia was more targeted, with a focus on the mineral resources sector, carbon sequestration projects, and other strategic ventures that matched Indonesia’s advantages. Indonesia, which possessed two of the world’s four largest tropical forests, offered a prime location for carbon and environmental sustainability projects supported by Canadian technology.
During the same occasion, Farmer remarked that Canada’s interest in Indonesia went beyond energy and digital sectors, extending to food security and natural resource-based industries.
He said Canada viewed Indonesia as a vital partner in the global supply chain, especially in the areas of food and energy. Farmer also noted several Indonesian companies had already invested in Canada, notably in LNG, oil, and paper.
He further noted that the completion of Canada’s FTA with ASEAN, targeted by the end of this year, would facilitate faster flows of investment and trade between Canada and Southeast Asia.
“We aim to be a mutually beneficial trading partner and to continue building a long-term relationship with both Indonesia and ASEAN,” he concluded.
With this deepening economic cooperation, Indonesia was projected to become a primary hub for Canada’s business expansion in Southeast Asia, driving growth in the local digital sector and green energy developments.

