The Gulf Cooperation Council (GCC)and Indonesia have signed a joint statement to launch Indonesia-GCC Free Trade Agreement (I-GCC FTA) for enhancing trade and investment cooperation.
The statement was signed by the GCC Secretary-General, Jasem Mohamed Albudaiwi, on behalf of GCC and Indonesian Trade Minister, Zulkifli Hasan, representing Indonesia.
The aim of this agreement is to serve mutual interests and enhance economic ties between GCC and Indonesia. In addition to this, the FTA is expected to create framework for streamlining investment regulations and flourishing new employment opportunities.
This initiative highlights both parties’ commitment to strengthening economic partnership as well as their efforts to explore new avenues for collaboration. Jasem Mohamed Albudaiwi stressed that the launch of FTA with Indonesia is in line with the GCC’s strategic goals to expand its relationships with major international partners.
Albudaiwi also highlighted that Indonesia is a priority for the GCC as they seek agreements that reflect shared economic interests. The FTA is expected to act as a crucial platform for boosting the GCC countries’ economic diversification strategies as well as achieving broader economic visions.
The initial round of negotiations is scheduled to begin in 2024, and is anticipated to complete within the next 24 months. The FTA will open the door to enhanced economic cooperation and mutual growth between the GCC and Indonesia.
The collaboration between GCC and Indonesia has been flourishing for the last few years. This includes the 2015 Declaration of Indent, the 2019 MoU on Consultation Mechanisms and the Joint Action Plan for Strategic Dialogue (2020-24).
