Indonesia and Kuwait Expand Energy Collaboration to Bolster Security
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- Indonesia and Kuwait are reinforcing energy cooperation to address global uncertainty, focusing on oil and gas exploration and long-term strategic ties.
- Bilateral trade and investment between the two countries are rising, with energy remaining the central pillar of cooperation.
- Both nations are also pushing forward broader economic integration, including accelerating the Indonesia–GCC free trade agreement.
Jakarta — Indonesia and Kuwait are stepping up cooperation in energy security as both countries seek to navigate ongoing global geopolitical and economic uncertainty.
The commitment was highlighted during a meeting between Coordinating Economic Minister Airlangga Hartarto and Kuwaiti Ambassador to Indonesia Khalid Jassim Alyassin in Jakarta.
“Indonesia and Kuwait share a long-standing and solid diplomatic relationship. This provides a strong foundation to expand bilateral cooperation. Both countries have agreed to continue strengthening collaboration in energy security amid global uncertainty,” Airlangga said in an official statement on Friday.
Energy cooperation between the two countries has been reflected in several strategic projects. Among them is the involvement of Kuwait Foreign Petroleum Exploration Company (KUFPEC) in eight oil and gas exploration projects across Indonesia.
The projects are located in Buton Island, the Natuna Sea, and East Kalimantan. In addition, the KUFPEC Indonesia BV consortium is also conducting exploration activities in the Anambas area.
Bilateral collaboration in the energy sector has been further reinforced through a 2019 Memorandum of Understanding (MoU) on oil, gas, and petrochemical cooperation.
Beyond energy, Indonesia and Kuwait have also signed several agreements, including an MoU on the establishment of a Joint Commission, as well as MoUs on economic and technical cooperation and trade, both signed in 2007.
“These agreements underline Indonesia’s strategic importance to Kuwait, particularly in the economic sector,” Ambassador Khalid said.
Both sides also agreed to accelerate negotiations on the Indonesia–Gulf Cooperation Council (GCC) Free Trade Agreement, which is targeted for completion by the end of 2026.
Economic ties between the two countries have shown a positive trend in recent years.
In 2025, total trade between Indonesia and Kuwait rose by 10.69 percent to US$606 million, up from US$547.5 million in 2024. Meanwhile, Kuwaiti investment in Indonesia increased significantly from US$290,000 in 2024 to US$1.2 million in 2025, largely driven by the oil and gas sector.
Indonesianpost.com | Antara
