Australia and Indonesia entered a new phase of economic cooperation with the launch of KATALIS 2.0, a flagship initiative designed to accelerate trade, investment, and business collaboration under the Indonesia–Australia Comprehensive Economic Partnership Agreement (IA-CEPA). More than an economic program, KATALIS 2.0 reflected the growing confidence between two neighboring nations that increasingly viewed one another as long-term strategic partners in building a more resilient and prosperous Indo-Pacific.
The program was officially launched in Jakarta on 13 July 2026. Representing the Minister of National Development Planning (Bappenas), Dr. Eka Chandra Buana, Deputy for Macro Development Planning at Bappenas, delivered keynote remarks alongside Vice Minister of Trade Dyah Roro Esti Widya Putri. The event was also attended by Mary Elka Pangestu, Special Envoy of the President for International Trade and Multilateral Cooperation, and Australia's Assistant Minister for Foreign Affairs and Trade, Matt Thistlethwaite MP, who officially inaugurated KATALIS 2.0 with a ceremonial gong strike alongside Indonesian counterparts, symbolizing a renewed commitment to deeper bilateral economic cooperation.
From IA-CEPA to KATALIS 2.0
Since the Indonesia–Australia Comprehensive Economic Partnership Agreement (IA-CEPA) entered into force in 2020, bilateral cooperation has expanded beyond traditional trade to encompass investment, skills development, innovation, and sustainable economic growth.
KATALIS—short for the Australia–Indonesia Trade and Investment Development Program—has become one of the partnership's flagship initiatives, helping businesses identify opportunities, strengthen supply chains, and improve market access. The launch of KATALIS 2.0 marked the next phase of this collaboration by supporting the implementation of IA-CEPA while encouraging deeper engagement between government, industry, and the private sector.
As Australian Prime Minister Anthony Albanese previously remarked:
"Indonesia is indispensable to Australia's future prosperity, security and stability."
That vision continues to shape one of Australia's most important regional partnerships.
Turning Economic Potential into Practical Opportunities
Beyond broad economic cooperation, KATALIS 2.0 places particular emphasis on sectors with strong potential for mutually beneficial growth. During the launch, speakers highlighted opportunities in education, professional services, healthcare, aged-care workforce development, and sustainable agriculture, including the rapidly growing cocoa and chocolate industry.
Responding to questions from the media, Australian officials noted that KATALIS 2.0 could help create a more supportive environment for Indonesian small and medium-sized enterprises interested in establishing businesses in Australia, including chocolate processing and manufacturing ventures. While the program does not directly provide business licenses or investment approvals, officials emphasized that business establishment mechanisms and visa facilitation would receive closer attention to make cross-border commercial collaboration more accessible.
These practical initiatives reflect a broader ambition to encourage greater two-way investment while creating new opportunities for businesses on both sides.
Building Stronger Economic Bridges
The Australia–Indonesia economic relationship has grown steadily over the past decade.
Two-way merchandise and services trade has surpassed A$35 billion annually, making Indonesia one of Australia's fastest-growing economic partners. Australian investment continues to expand across education, infrastructure, renewable energy, agriculture, health, and digital innovation, while Indonesian companies are increasingly exploring opportunities in Australia.
KATALIS 2.0 aims to unlock even greater collaboration by supporting businesses in navigating regulations, developing commercial partnerships, and creating new investment opportunities that generate mutual economic benefits.
Assistant Minister Matt Thistlethwaite MP emphasized the importance of the initiative, saying:
"Indonesia is one of Australia's closest economic partners. Together, we are creating more opportunities for businesses, strengthening economic resilience, and delivering shared prosperity for both countries."
Vice Minister of Trade Dyah Roro Esti Widya Putri echoed that commitment, emphasizing Indonesia's determination to leverage international partnerships to strengthen its economy.
"Indonesia is committed to expanding trade and investment opportunities that strengthen the competitiveness of our national industries while creating greater opportunities for Indonesian businesses in international markets. Our partnership with Australia continues to support these national priorities."
Dr. Eka Chandra Buana, Deputy for Macro Development Planning at Bappenas, added that strong international partnerships would play an essential role in supporting Indonesia's long-term development agenda by strengthening institutions, fostering innovation, mobilizing investment, and promoting sustainable and inclusive economic growth.
Beyond Trade: A Partnership Built on People
Economic cooperation between Australia and Indonesia has long extended beyond commerce.
Each year, thousands of Indonesian students pursue higher education in Australia through university partnerships and scholarship programs, while Australian institutions collaborate closely with Indonesian universities, vocational schools, and research centers.
People-to-people exchanges continue to flourish through cultural festivals, academic cooperation, youth leadership initiatives, tourism, sports diplomacy, and creative industries.
Programs such as the New Colombo Plan have enabled thousands of Australian students to study, intern, and conduct research in Indonesia, strengthening mutual understanding between future leaders of both nations.
President Prabowo Subianto has emphasized the enduring value of the bilateral relationship:
"Indonesia and Australia are close neighbors whose partnership is built on mutual respect, trust, and shared prosperity."
Supporting Sustainable and Inclusive Growth
One of KATALIS 2.0's defining characteristics is its emphasis on inclusive and sustainable economic development.
Building on the achievements of its first phase, the program seeks to strengthen cooperation in sustainable agriculture, green industries, digital transformation, women's economic empowerment, regional business development, and workforce development.
The initiative aligns closely with Indonesia's national development priorities while complementing Australia's commitment to fostering a stable, prosperous, and inclusive Indo-Pacific. With participation from government agencies, businesses, development partners, and industry stakeholders, KATALIS 2.0 is expected to generate practical outcomes benefiting enterprises of all sizes—from innovative startups to established exporters.
A Shared Vision for the Future
The launch of KATALIS 2.0 represented more than the continuation of an economic program—it demonstrated the growing maturity of the Australia–Indonesia relationship. As neighboring nations with complementary economies and shared regional interests, both countries have increasingly invested in long-term cooperation that delivers tangible benefits for businesses, communities, and future generations.
As IA-CEPA continues to deepen commercial ties, KATALIS 2.0 provides a practical platform for transforming shared ambitions into real opportunities. By fostering innovation, investment, skills development, and stronger business connections, the initiative reinforces the idea that the future of Australia–Indonesia relations will be shaped not only by government agreements, but also by the partnerships forged between people, institutions, and industries across both countries.
