SBY to Welcome Argentinian President, Japanese PM

Jakarta Globe, Abdul Qowi Bastian, January 15, 2013

President Susilo Bambang Yudhoyono. (Reuters Photo/Beawiharta)  

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President Susilo Bambang Yudhoyono is set to meet with the Argentine and Japanese heads of state this week in order to bolster Indonesia’s bilateral relations with both nations.

Yudhoyono will receive Argentine President Cristina Fernandez de Kirchner on Thursday and Japanese Prime Minister Shinzo Abe the following day at the Merdeka Palace in Jakarta.

“The state visit by the Argentine president and the official visit by the Japanese PM will hopefully strengthen ties between Indonesia and both countries, not only between the government, but also among its people and businessmen,” Presidential spokesman Teuku Faizasyah said in a statement received by the Jakarta Globe on Tuesday.

During the meetings, Yudhoyono and the two leaders will discuss how to develop mutual ties in various areas.

“President SBY and each of his counterparts will focus on reinforcing bilateral relationships, including building partnerships in the economic sector,” Faizasyah said referring to Yudhoyono by his initials.

Argentina is the second-largest importer of Indonesian goods in South America after Brazil. Indonesia, meanwhile, is Argentina’s biggest trading partner in Southeast Asia.

Bilateral trade between Argentina and Indonesia reached $1.94 billion in 2011. As of October of last year, trade between the two countries was measured at $1.67 billion.

“There is still room to develop economic partnerships with each country. Even more, Indonesia should maximize Argentina and South America’s market potential for its products, [especially] amid global economic downturn,” Faizasyah added.

Fernandez’s appearance represents Argentina’s first state visit to Indonesia.

Meanwhile, Yudhoyono’s meeting with Abe will refocus on the Japan-Indonesia Strategic Partnership for Peaceful and Prosperous Future, formed in 2006 during Yudhoyono’s visit to Japan.

Japan is one of Indonesia’s main partners in both the trade and investment sectors. Bilateral trade between both nations in 2011 totaled $53.1 billion, and reached $44.85 billion as of October of last year.

Analysts have said that Abe’s trip to Indonesia and other Southeast Asian countries — namely Thailand and Vietnam — demonstrates that Japan wants to establish closer ties in the region as its relationship with China continues to deteriorate.

Japanese Chief Cabinet Secretary Yoshihide Suga said that Indonesia, Thailand and Vietnam are at the forefront of Asian economic growth. Japan, on the other hand, is mired in deflation and stuck in its fourth recession since 2000.

“It’s important to strengthen the cooperation with the Asean [Association of Southeast Asian Nations] countries to ensure peace and prosperity in the Asia-Pacific region,” Suga said.

Abe’s visit to the archipelago will be his first official trip overseas following his inauguration last month.