The United Arab Emirates and Indonesia are aiming to deepen their trade and investment ties as they prepare to celebrate five decades of diplomatic relations in 2026. Officials from both countries highlighted ongoing cooperation in sectors such as renewable energy, tourism, development, education, and healthcare.
Bilateral diplomatic relations between the UAE and Indonesia were established in 1976, with growing engagement that has expanded across multiple areas, including economic, political, cultural, and humanitarian cooperation. According to Abdulba Salem AlDhaheri, the UAE Ambassador to Indonesia and Non-Resident Ambassador to the Democratic Republic of Timor-Leste, the relationship is built on long-term engagement and mutual respect.
Economic ties have strengthened significantly in recent years. Trade between the two nations increased from $1.5 billion in 2020 to $6.1 billion in 2025. A major milestone in this progress was the UAE–Indonesia Comprehensive Economic Partnership Agreement (CEPA), signed in July 2022 and enacted in September 2023. This agreement aims to enhance market access, reduce trade barriers, and create additional opportunities for business collaborations on both sides.
Beyond trade, the UAE and Indonesia have been fostering collaboration in renewable energy, infrastructure, and logistics. One prominent example is the Cirata floating solar power plant in West Java. The renewable energy project is a partnership between UAE’s Masdar and Indonesia’s state-owned electricity company, PLN Group. Both countries are also exploring geothermal energy initiatives and other clean energy ventures.
Tourism and aviation sectors also present opportunities for future growth, potentially contributing to further economic integration. Additionally, the cooperation extends into healthcare, exemplified by a cardiovascular hospital in Solo equipped with advanced medical technology to support specialized health services.
The UAE Embassy in Jakarta continues to engage with Indonesian authorities, private sector players, and international partners to facilitate investments and advance development projects across these areas.
Looking ahead to the next 50 years, AlDhaheri emphasized that the foundation of the UAE-Indonesia partnership rests on shared interests, respect, and a spirit of brotherhood. He stated, “We do this because of the brotherhood. We do this because we like each other. We do this because we respect each other,” underscoring the close ties that have shaped the relationship between the two countries.