Indonesia adjusts its defence policy in response to increasingly dynamic and complex geopolitical developments. While the free and active principle remains the foundation of its foreign policy, Jakarta has adopted a more open approach to defence cooperation.
One concrete step taken is the signing of the Defence Cooperation Agreement (DCA) 2024 with Australia. This agreement aims to strengthen military relations through joint exercises and enhanced regional security collaboration.
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Nevertheless, Indonesia remains committed to maintaining a balance between global powers such as the United States and China while preserving its strategic autonomy in the face of various geopolitical challenges.
In recent years, Indonesia has demonstrated a stronger commitment to bolstering its defence sector by increasing its budget and expanding its acquisition of major defence equipment (alutsista) from various countries.
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According to the Australian Strategic Policy Institute (ASPI) report, Indonesia’s Ministry of Defence plans to raise its defence budget from 0.8 percent to 1.5 percent of GDP. Several strategic agreements have been signed, including the purchase of 42 Dassault Rafale fighter jets from France worth $8.1 billion, 12 drones from Turkey worth $300 million, and 24 Sikorsky S-70M Black Hawk helicopters from the United States.
This diversification strategy reflects Indonesia’s approach to strengthening its military capabilities without aligning itself with any particular alliance.
Although the DCA does not hold the status of a Status of Forces Agreement (SOFA), it still enhances existing cooperation by providing a legal framework for increased military collaboration and bilateral activities.
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Additionally, the agreement includes provisions for deeper educational exchanges and more coordinated maritime operations between the two countries. However, despite closer ties with Australia, Indonesia remains firmly committed to its principle of neutrality, ensuring that this agreement does not lead to alignment with any specific geopolitical bloc.
In line with its strategic shift, Indonesia is also expanding its engagement in international forums to strengthen its global influence. Its decision to join BRICS and strengthen ties with developing nations highlights Jakarta’s efforts to balance its national interests amid rising global tensions.
Ultimately, these measures reflect Indonesia’s strategic adaptation to an increasingly competitive geopolitical landscape while reinforcing its position as an independent and sovereign power.