Indonesia, Saudi Arabia Sign MoU to Boost Direct Investment and Strategic Economic Cooperation
Jakarta, The Gulf Observer: Indonesia and Saudi Arabia have signed a Memorandum of Understanding (MoU) on Cooperation and Promotion of Direct Investment, marking a significant step towards strengthening bilateral economic relations and facilitating greater cross-border investment between the two countries.
The agreement was signed on Tuesday by Indonesia’s Minister of Investment and Downstreaming and Head of the Investment Coordinating Board (BKPM), Rosan Roeslani, and Saudi Minister of Investment Fahad bin Abduljalil Al-Saif.
In a statement issued on Wednesday, Minister Rosan said Indonesia and Saudi Arabia enjoy longstanding relations founded on mutual trust, respect, and strong people-to-people ties, adding that the partnership is now expanding into strategic investment cooperation aimed at delivering tangible economic benefits for both nations.
According to Indonesia’s Ministry of Investment, Saudi Arabia’s realized Foreign Direct Investment (FDI) in Indonesia reached US$126.2 million between 2021 and the first half of 2026.
Rosan noted that changes in the global economic environment are encouraging countries to build resilient economic partnerships, with investors increasingly prioritizing market stability, regulatory certainty, and long-term growth prospects over cost efficiency alone.
He highlighted that Saudi Arabia’s Vision 2030 modernization programme and Indonesia’s drive towards industrialization, downstreaming, infrastructure development, and economic transformation create significant opportunities for deeper strategic collaboration.
Under the MoU, both countries agreed to enhance cooperation in direct investment by sharing statistical data, exchanging investment-related information, and updating regulatory frameworks. The agreement also provides for private-sector consultations, joint investment promotion initiatives, exchanges of expert delegations, and technical knowledge sharing.
Additionally, the framework aims to strengthen institutional coordination between the investment authorities of Indonesia and Saudi Arabia, paving the way for increased business cooperation and long-term investment partnerships.
Minister Rosan stressed that the real measure of the agreement’s success would lie in its effective implementation, resulting in new investment projects, expanded business partnerships, job creation, and sustainable economic prosperity for the people of both countries.
Reaffirming Indonesia’s commitment to attracting quality investment, Rosan said the country welcomes investments that generate added value, promote knowledge transfer, support industrial development, and contribute to shared economic growth.
