While delivering the 2026 Annual Foreign Minister's Press Statement in Jakarta on Wednesday, he noted that the use of economic policy as a geopolitical tool is rising, with trade, investment, and technology increasingly being utilized as instruments in global competition.
“In this new reality, a country's economic strength is no longer measured solely by its growth figures, but also by its ability to endure and adapt,” Minister Sugiono remarked.
According to him, Indonesia is not immune to a reality where the lines between economics and security are becoming more blurred, resulting in a global economic slowdown.
Nevertheless, amidst this situation, he affirmed that Indonesia maintains solid foundations, characterized by growth rates above the global average, controlled inflation, trade surpluses, and consistently high investment realization.
"These stable economic foundations have strengthened Indonesia's position on the global stage and supported Indonesia's sustained active role," he said.
The minister underscored that economic diplomacy is the core of Indonesia's diplomacy to increase national economic growth and resilience.
To this end, he continued, Indonesia secured three major economic cooperation agreements with Canada, Peru, and the Eurasian Economic Union in 2025.
Additionally, to reduce systemic vulnerabilities, Indonesia has contributed to strengthening financial inclusion through innovative mechanisms such as Quick Response Code Indonesian Standard (QRIS).
This QR-based payment system has facilitated cross-border transactions in several countries, including Malaysia, Thailand, Singapore, China, and Japan.
Indonesia is also set to finalize the Comprehensive Economic Partnership Agreement (CEPA) with the European Union and the Preferential Trade Agreement (PTA) with Mauritius.
Furthermore, the country will ensure the implementation of the ASEAN-China Free Trade Area 3.0, Sugiono added.
He further said that Indonesia will implement the Indonesia-Japan Economic Partnership Agreement and promote trade cooperation with new partners in the African region, such as Rwanda.
"The diversification of partners is undertaken with awareness of the need to mitigate risks arising from the volatility and economic slowdown faced by our traditional partners," he said.
Related news: Govt continues economic package program to maintain growth
Related news: Prabowo targets 60,000 village cooperatives by end-2026
Related news: FM Sugiono stresses boosting economic ties in meeting with Erdogan
Translator: Cindy Frishanti, Raka Adji
Editor: Azis Kurmala
Copyright © ANTARA 2026
