Politics
Indonesia calls on Muslim countries to reduce trade with Israel
Jakarta. Indonesia recently called on Muslim and Arab countries to reduce trade with Israel in order to stop the bloodshed in Gaza.
Leaders of the Arab League and the Organization of Islamic Cooperation (OIC), of which Indonesia is a member, recently met in Riyadh to discuss ending the war in Gaza. President Prabowo Subianto sent his Deputy Foreign Minister Anis Matta to the summit in Riyadh, as the new leader traveled to the United States for an introductory state visit. Speaking in Arabic, Anis urged the OIC and Arab League to sever international trade relations with Israel as more Palestinians die at the hands of Israeli forces.
“We [Indonesia] I would like to offer some recommendations, …, among others on how we should continue to sever all economic ties – including trade and investment – with Israel. [We should also cut ties] with companies linked to global Zionist movements and stop any existing Israeli projects in member countries,” Anis Matta said at the Riyadh summit.
He added: “We need to increase the volume of trade between the countries of the two organizations, especially locally produced goods in the Arab and Islamic economies. »
Turkey – which has already imposed trade restrictions on Israel – made similar calls at the same summit. Turkish President Recep Tayyip Erdogan has urged the Muslim world to end trade with Israel.
Despite Indonesia's statement at the Riyadh conference, Southeast Asia's largest economy has engaged in economic activities with Israel, at least since September, according to the Commerce Ministry. Trade between Indonesia and Israel totaled $173 million in the nine months of this year. The trade figures increased by almost 24.6 percent compared to the $138.9 million recorded for the same period last year. Indonesian exports to Israel reached $130.6 million this year, as of September.
Israel is still far from being one of Indonesia's main sources of foreign investment. Muslim-majority Indonesia reported that its Israeli investments reached just $10,000 between January and September 2024, according to government data.
Prabowo only came to power a few weeks ago with an inaugural speech that also mentioned Palestine. The former army general even said that Indonesia – as a country that struggled against colonialism in the past – would support Palestinian independence. Many Indonesians have also boycotted products perceived to be produced by pro-Israeli companies.
Indonesia does not have official diplomatic relations with Israel.
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