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The exorbitant price of Trump’s attempt to secure Indonesian recognition of Israel

In the final days of the Trump Administration, the US has offered to increase development spending to Indonesia in return for Jakarta recognising Israel. But, as regional analyst David Engel writes, the incoming Biden Administration can learn lessons from such a transactional offer. With Indonesia asked to abandon its longstanding principles, such a proposal is politically inept and will likely end in failure.

Indonesia United States

Australia’s A$1.5 billion COVID-related loan to Indonesia

The Australian Government has unexpectedly announced that Australia will make a $ 1.5 billion COVID-related support loan to Indonesia. Australia’s assistance program to Indonesia has lagged somewhat in recent years. Indeed, the fall in support to Indonesia had begun to attract comment. But in one stroke, Treasurer Josh Frydenberg’s announcement late last week significantly strengthened Australia’s economic diplomacy in Southeast Asia, writes Peter McCawley.

Indonesia COVID-19 Aid & Development

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