BrahMos missiles, critical minerals, EVMs: India, Indonesia ink 14 pacts during PM Modi’s visit to Jakarta

India and Indonesia on Tuesday significantly expanded their strategic and economic partnership by signing 14 agreements spanning defence, critical minerals, maritime security, telecommunications, agriculture, disaster management and digital cooperation during Prime Minister Narendra Modi's visit to Jakarta.

The agreements, signed following delegation-level talks between Prime Minister Narendra Modi and Indonesian President Prabowo Subianto, also include Indonesia's decision to procure India's indigenous BrahMos missile system and Astra air-to-air missiles, marking a major boost for India's defence exports.

In a move aimed at strengthening maritime cooperation in the Indo-Pacific, the two countries also agreed to jointly develop Indonesia's Sabang Port, located near the strategically important Strait of Malacca. The port, situated close to India's upcoming Great Nicobar transshipment project, is expected to enhance regional maritime connectivity and strengthen logistics links across the Indo-Pacific.

The partnership also extends to critical minerals, with India planning investments in Indonesia's steel, nickel and rare earth value chains as New Delhi looks to diversify supply sources for key industrial minerals. Among the commercial agreements signed was a strategic joint venture between the Steel Authority of India (SAIL) and Indonesia's PT Krakatau Steel to establish a stainless-steel slab manufacturing facility in Indonesia. Another pact involving the Non-Ferrous Materials Technology Development Centre (NFTDC), Midwest Ltds. and PT PERMINAS will focus on developing rare earth permanent magnets.

Defence, digital and technology cooperation

The two sides extended their framework agreement on peaceful uses of outer space and signed agreements covering telecommunications technologies, research and innovation, agriculture, medical products regulation, health workforce collaboration and disaster management.

India and Indonesia also signed an agreement between the Election Commission of India and Indonesia's General Elections Commission to cooperate on developing Indonesia-specific electronic voting machines (EVMs), expanding bilateral engagement into electoral technology.

On the digital front, PM Modi announced that India's Unified Payments Interface (UPI) will be integrated with Indonesia's payment system to facilitate seamless cross-border transactions.

"The integration will boost both ease of doing business and ease of travel," PM Modi said.

The leaders also agreed to deepen cooperation in the blue economy, maritime trade and port development while extending their maritime safety and security cooperation framework.

'Golden chapter' in bilateral ties

Addressing a joint press briefing, PM Modi described the expanding partnership as the beginning of a new phase in bilateral relations.

“Growing trust between India and Indonesia is strengthening our defence, security and maritime cooperation,” the Prime Minister said.

Referring to the Comprehensive Strategic Partnership established in 2018, Modi said it was "taking a new flight today."

“We are taking important steps in every area- development, security, technology, culture and education. I am confident that from today, a golden chapter of the India-Indonesia partnership will begin. This golden chapter will have a very large positive impact on the world of the 21st century,” he said.

Beyond the agreements, the two countries announced several new initiatives, including the establishment of an Indian Institute of Management (IIM) Bangalore branch campus at Indonesia's Singhasari Special Economic Zone, the launch of the Indonesia Open Network (ION) based on India's Open Network for Digital Commerce (ONDC) architecture, conservation support for the Prambanan Temple Complex, deployment of an Indonesian liaison officer at the Information Fusion Centre-Indian Ocean Region (IFC-IOR), supply of 100 tonnes of high-quality wheat seeds, and the commemoration of the "Tagore-Dewantara Year of Cultural and Educational Diplomacy.

The two leaders also exchanged views on regional and global developments, including the situation in West Asia.

“In this era of global turmoil, India believes that the role of dialogue and diplomacy has become more important than ever before,”  PM Modi said.

“On the issue of Palestine, we support the Two-State Solution and long-term peace,” he added.

Modi is on a three-day visit to Indonesia, the first leg of his three-nation tour aimed at strengthening India's Act East Policy and deepening the India-Indonesia Comprehensive Strategic Partnership. Earlier in the day, President Prabowo conferred Indonesia's highest civilian honour, the Bintang Adipurna of the Republic of Indonesia, on the Prime Minister.