Indonesia Seeks Clarity on US Foreign Aid Suspension Impact
Jakarta, The Gulf Observer: National Development Planning Minister Rachmat Pambudy met with US Ambassador to Indonesia Kamala Shirin Lakhdir to discuss the implications of the United States’ temporary foreign aid suspension on Indonesia’s development programs. The meeting aimed to clarify the scope of the policy and its potential impact on critical initiatives, including HIV/AIDS treatment, tuberculosis management, and medical equipment procurement.
“We are seeking further understanding regarding this policy and its impact on our ongoing programs,” Pambudy stated on Friday.
Ambassador Lakhdir explained that the temporary suspension is part of a broader evaluation initiated under US President Donald Trump’s directive to ensure that all foreign aid programs align with US foreign policy priorities. However, she reassured that certain emergency assistance, such as HIV/AIDS medication provisions, remains unaffected.
“The United States Embassy continues to cooperate with Indonesia’s Health Ministry to support logistics and medicine delivery systems,” Lakhdir noted.
Ongoing Cooperation Through MCC Compact-II
Despite the aid suspension, Indonesia and the US continue collaboration through the Millennium Challenge Corporation (MCC) program, which focuses on infrastructure enhancement and economic development. The Compact-II initiative, a key component of this cooperation, remains uninterrupted.
Minister Pambudy emphasized Indonesia’s commitment to preserving and strengthening bilateral ties with the United States, ensuring that the partnership supports inclusive and sustainable development for both nations.
“Development cooperation between Indonesia and the United States is a historic relationship with real benefits for both countries. Indonesia is committed to maintaining this partnership while continuing to support a shared vision for sustainable progress,” he stated.