Development partnership with Indonesia
To support equitable and sustainable economic transformation in Indonesia, our development partnership will focus on outcomes that ensure:
- sustainable and equitable economic growth is supported, including in trade, investment and innovation
- human development, governance, service delivery, and gender and disability equality are strengthened
- citizens, including vulnerable groups, benefit from improved governance, public infrastructure and services.
Australia is committed to working with Indonesia to support sustainable and equitable economic transformation and to better integrate our two economies for mutual benefit both through ODA investments and through non-ODA investments. We support this transformation through a range of investments in economic governance, trade, infrastructure, research and innovation as well as through human development, regional equality and service delivery efforts.
In line with Invested: Australia's Southeast Asia Economic Strategy to 2040, Australia will foster government-to-government engagement, expand commercial links and support Indonesia in its ambitions to accede to the Organisation for Economic Co-operation and Development (OECD). Where appropriate, we will partner with development banks and other multilateral institutions to support Indonesia's sustainable and equitable economic growth objectives.
Indonesia Australia Infrastructure Partnership (KIAT)
$300 million, 2017-2026
The Australia-Indonesia Infrastructure Partnership - Kemitraan Indonesia Australia untuk Infrastructure (KIAT) is a partnership between Australia and Indonesia to support sustainable and inclusive economic growth through improved access to infrastructure in Indonesia. KIAT focuses on improving water and sanitation, roads and transport through promoting regulatory reforms and building government capability. KIAT encourages inclusive infrastructure development through engagement with civil society organisations, women and people with disabilities, throughout the planning, design, implementation and evaluation phases.
Related document
| Name of document | Year published | Type |
|---|---|---|
| Indonesia Australia Partnership for Infrastructure (KIAT) Phase 1: Mid-Term Review and Management Response | August 2021 | Mid-Term Review |
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Australia-Indonesia Partnership for Economic Development (PROSPERA)
$259 million, 2018 - 2026
Australia's economic governance program aims to foster more effective Indonesian economic institutions and policies that contribute to strong, sustainable and inclusive economic growth. PROSPERA builds on over 20 years of Australian investment in Indonesia's economic governance that began in the aftermath of the Asian Financial Crisis of the late 1990s. PROSPERA activities are delivered by Australian Government agencies and contracted advisers working with around 30 Indonesian counterpart agencies.
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Synergies and Collaboration for Service Delivery Acceleration (SKALA)
$160 million, 2023-2030
The goal of SKALA is to help reduce poverty and inequality within Indonesia by improving basic service provision to poor and vulnerable communities in less developed regions. SKALA will do so through working with stakeholders at the national and local levels to strengthen Indonesia's decentralised governance.
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Australia Awards in Indonesia Program
*$128 million, 2022 - 2030
Australia Awards scholarships are offered to the next generation of Indonesian leaders. Through long-term and short-term study and research, recipients develop the skills, knowledge, and networks to drive change and help build people-to-people links. Engagement with alumni (including those who self-fund their study) upon their return to Indonesia is a high priority for the program, to celebrate the achievements of Australian Alumni in Indonesia and foster their ongoing connections to Australia.
* the figure only covers activities undertaken in Indonesia and does not include tuition fees and other costs occurred in Australia.
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Australia Indonesia Partnership Towards an Inclusive Society (INKLUSI)
$120 million, 2021-2029
The Australia Indonesia Partnership Towards an Inclusive Society (INKLUSI) aims to empower civil society organisations (CSOs) and facilitate collaboration with the Indonesian Government at national and sub-national levels to contribute to inclusive development, including gender equality, women's empowerment, disability rights and social inclusion.
Related document
| Name of document | Year published | Type |
|---|---|---|
| Australia-Indonesia Partnership Towards an Inclusive Society – Investment Design Document | 2022 | Design |
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Innovation for Indonesia's School Children – Phase 3 (INOVASI)
$110 million, 2024-2031
INOVASI will support the Indonesian government in its efforts to improve Indonesia's basic education system to lift children's learning outcomes. Improved literacy and numeracy will contribute to Indonesia's human development and economic transformation objectives.
Related documents
| Name of document | Year published | Type |
|---|---|---|
| INOVASI Phase 3 Design Update Document | 2024 | Investment Design |
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Australia-Indonesia Health Security Partnership (AIHSP)
$48 million, 2020-2025
The Australia-Indonesia Health Security Partnership (AIHSP) is Australia's bilateral health security program. AIHSP works directly with Indonesian local and national government counterparts and in collaboration with international health partners, such as the World Health Organization (WHO), UNICEF and Australian agencies such as CSIRO, to build stronger systems to respond to public human and animal health threats.
Related documents
| Name of document | Year published | Type |
|---|---|---|
| AIHSP Design Concept | 2019 | Concept |
| AIHSP Design Document | 2019 | Design |
| AIHSP independent mid-term review AIHSP mid-term review management responses AIHSP report annexes | 2023 | Review and management response |
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Indonesia-Australia Comprehensive Economic Partnership Agreement Economic Cooperation Program (IA-CEPA ECP) – Katalis
$40 million, 2020 – 2025
The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) entered into force on 5 July 2020. It included a new Economic Cooperation Program known as ‘Katalis'. Katalis aims to maximise the mutual benefits of IA-CEPA, support two-way trade and investment, improve market access, and promote inclusive economic growth in Indonesia. In particular, Katalis will support IA-CEPA implementation in the agrifood, advanced manufacturing and services (including skills) sectors.
Related documents
| Name of document | Year published | Type |
|---|---|---|
| Economic Cooperation Program (ECP) — Investment Design | May 2020 | Investment design |
| Katalis Fact Sheets | May 2021 | Fact sheet |
| Katalis Mid-term Review and Management Response | May 2024 | Review and management response |
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Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA)
World Bank Health Transformation Multi-Donor Trust Fund
$9.6 million, 2023-2027
Australia is providing funding through the World Bank-managed Health Transformation Multi-Donor Trust Fund (MDTF) to enable Indonesia's Health System Transformation Agenda that will strengthen primary and secondary health care, addressing critical gaps in accessibility and quality of health services for women and girls, people with disabilities, and building climate resilience. The MDTF assists in coordinating development partners' support to the Ministry of Health in order to maximise the impact of their contributions.
Related document
| Name of document | Year published | Type |
|---|---|---|
| World Bank Health Transformation Multi-Donor Trust Fund: design document | 2023 | Design |
Related link
Highlighting Indonesia's Health System Transformation
The Australian National University Indonesia Project – Phase V
$5.2 million, 2022-2026
Since inception in 1965, the ANU Indonesia Project has been at the forefront of Indonesian studies in Australia and internationally. DFAT has co-financed the Indonesia Project with ANU since 1980. The goal of the Indonesia Project is to contribute to research-based public policy in Indonesia and to build Indonesia literacy in Australia, and through these efforts, strengthen ties between our two countries.