Saudi Arabia and Indonesia sign $27 billion in strategic agreements across energy, defence and technology
Saudi Arabia
and Indonesia have signed a series of economic and strategic agreements worth $27 billion, marking a major milestone in bilateral relations between the two emerging global players.
The deals were finalised during Indonesian President's official visit to Riyadh, reinforcing both countries' ambitions to strengthen cooperation across key sectors including energy, defence, cybersecurity and technology.
Energy and Clean Technology Take Center Stage
Energy collaboration was a central focus of the agreements, with both nations committing to deepen joint work on:
Crude oil supply and petrochemical development
Electricity generation and renewable energy
Hydrogen production and energy storage innovations
These agreements support Saudi Arabia's Vision 2030 and Indonesia's green energy transition, positioning the partnership as a potential model for low-carbon development in the Global South.
The countries also agreed to expand collaboration in aviation fuel services and other clean energy initiatives, highlighting their shared interest in sustainable growth and circular economy models.
Cybersecurity, Defence and Regional Security Cooperation
Security and defence were also key elements of the high-level talks. Saudi and Indonesian officials agreed to:
Enhance cooperation in counter-terrorism and transnational crime
Boost cybersecurity collaboration
Strengthen information sharing, training and operational coordination
This alignment reflects a growing convergence on regional and global security issues, especially amid shifting geopolitical dynamics.
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Trade, Technology and Strategic Growth
The two sides reaffirmed their shared vision for cooperation in:
Emerging technologies, including artificial intelligence
Building stronger frameworks for carbon circular economy
Supporting digital transformation in both countries
Indonesia and the Gulf Cooperation Council (GCC) are currently negotiating a free trade agreement, with rounds held in September 2024 and February 2025. Both nations expressed optimism about concluding a final accord soon.
Over the last five years, bilateral trade between Saudi Arabia and Indonesia has reached $31.5 billion, with the Kingdom now serving as Indonesia's top trading partner in the region.
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