Switzerland Funds Governance and Reform Efforts for Indonesia’s OECD Entry
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- Switzerland has pledged €3 million to assist Indonesia’s OECD accession, focusing on governance reforms, anti-corruption measures, and responsible business practices.
- Indonesia is accelerating its OECD membership bid with Swiss backing, alongside broader cooperation in energy, minerals, and economic reform.
- he partnership highlights Indonesia’s structural reforms and strategic efforts to meet global standards while strengthening bilateral economic ties with Switzerland.
Jakarta — Switzerland has committed €3 million to support Indonesia’s bid to become a full member of the Organisation for Economic Co-operation and Development (OECD), marking a significant step in Jakarta’s ongoing accession process.
The pledge was conveyed during a meeting between Coordinating Minister for Economic Affairs Airlangga Hartarto and Swiss Confederation President Guy Parmelin on the sidelines of the 2026 OECD Ministerial Council Meeting in Paris.
Airlangga said the financial support would be channeled through a cooperation program spanning 2025 to 2028, targeting three priority areas considered essential for Indonesia’s alignment with OECD standards.
These include strengthening governance of state-owned enterprises (SOEs), enhancing institutional capacity to implement Responsible Business Conduct (RBC), and supporting Indonesia’s accession to the OECD Anti-Bribery Convention.
Indonesia is currently intensifying efforts to align its regulatory framework with OECD standards, reviewing around 240 legal instruments across 32 chapters. The process involves more than 60 ministries and government agencies, with a focus on ensuring that reforms are not merely procedural but effectively implemented on the ground.
Beyond accession-related cooperation, both countries also explored avenues to deepen bilateral economic ties. One key initiative is a planned non-binding memorandum of understanding (MoU) in the minerals and metals sector, scheduled to be signed on June 23, 2026.
The agreement is expected to expand collaboration into critical raw materials, which have become increasingly strategic amid the global energy transition.
Airlangga also highlighted Indonesia’s ongoing structural reforms of SOEs, noting progress in streamlining and reducing the number of state-owned companies through restructuring and asset divestment.
As part of this broader strategy, he pointed to the role of Danantara, which is currently issuing international bonds to attract foreign investment.
“Going forward, Indonesia aims to adopt global best practices in corporate governance by leveraging Switzerland’s expertise as a mature market,” Airlangga said.
Addressing geopolitical tensions in the Middle East, both countries agreed to enhance coordination on energy and food security.
Indonesia outlined its success in diversifying energy imports, reducing dependence on Saudi Arabia to around 20 percent, while sourcing the remainder from African countries such as Nigeria, Angola, and Gabon, as well as the United States.
In the food sector, Indonesia reported achieving a level of self-sufficiency to stabilize long-term prices, while also exporting fertilizers to neighboring countries including Australia.
Switzerland, for its part, maintains strategic oil reserves sufficient for 4 to 4.5 months and continues to uphold robust national fertilizer reserves.
To further strengthen future energy resilience, Indonesia’s Ministry of Energy and Mineral Resources and Switzerland’s State Secretariat for Economic Affairs (SECO) are expanding cooperation on advanced technologies. This includes the development of smart grids and battery storage systems aimed at optimizing Indonesia’s solar energy potential.
Indonesianpost.com | Antara
