TEMPO.CO, Jakarta - Indonesian President Prabowo Subianto’s state visit to South Korea has yielded major economic gains, with businesses from both countries signing memorandums of understanding (MoUs) worth US$10.2 billion (around Rp173 trillion).
The figure was announced by Coordinating Minister for Economic Affairs Airlangga Hartarto after attending the “Indonesia–Korea Partnership for Resilient Growth” forum in Seoul on Wednesday, April 1.
According to a statement received on Thursday, Airlangga attended the forum on behalf of President Prabowo alongside Investment Minister and Head of the Investment Coordinating Board (BKPM) Rosan Roeslani, who also serves as CEO of sovereign wealth fund Danantara.
“A total of US$10.2 billion, or around Rp173 trillion, in MoUs was signed during the meeting,” Airlangga told reporters in Seoul.
He said the agreements cover a range of strategic sectors, including energy and green transition initiatives, such as solar power, carbon capture and storage (CCS), and other forms of renewable energy.
The deals also include cooperation in industry and manufacturing, including steel, batteries, and environmentally friendly transportation.
“The investment commitments also include the digital and AI sectors, as well as property and infrastructure, including development in Bumi Serpong Damai. There is also business cooperation between associations such as Kadin and KCCI, particularly to strengthen business commitments,” Airlangga said.
He added that several major South Korean companies had also reinforced their investment commitments in Indonesia, including POSCO in steel development and Lotte, which has expressed interest in potential collaboration with Danantara as an investment partner.
Airlangga said the outcome of Prabowo’s South Korea visit complements the results of the president’s earlier trip to Japan, which generated US$23.6 billion (around Rp401 trillion) in investment commitments.
“That means the President’s visits to these two countries have produced total investment commitments of around Rp574 trillion,” he said.
According to Airlangga, the figure underscores Indonesia’s continued appeal as an investment destination despite global geopolitical uncertainty.
“This is a very significant number. Amid geopolitical uncertainty, Indonesia remains attractive to investors from both Japan and South Korea,” he added.
During the forum, Airlangga also reiterated the government’s commitment to improving the investment climate through debottlenecking measures, aimed at resolving business and regulatory obstacles more quickly.
“We are preparing a debottlenecking mechanism so that all problems faced by businesses can be resolved swiftly,” he said.
He also said discussions between the Indonesian and South Korean governments had been highly positive, in line with the bilateral meeting between President Prabowo and South Korean President Lee Jae Myung, which reaffirmed both countries’ commitment to strengthening their strategic partnership.
The cooperation is expected to support sustainable economic growth, accelerate industrial transformation, and strengthen Indonesia’s position in global supply chains across strategic sectors.
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