Jakarta. Swiss Vice President Guy Parmelin said Friday that his country already had some pacts with Indonesia that could lay a solid groundwork for more investment inflows to Jakarta, particularly in renewable energy and transport infrastructure.

Indonesia has a free trade agreement with EFTA of which Switzerland is a part of. The four-member European bloc also encompasses Iceland, Liechtenstein, and Norway. The document in question is a comprehensive economic partnership agreement (CEPA), meaning that it not only eliminates barriers in goods trade, but also discourages Jakarta from discriminating against EFTA investors and vice versa. Indonesia has inked a bilateral investment treaty with Switzerland --  another accord meant to better protect each other’s investors, including in dispute settlements.

Parmelin had been in Jakarta over the past few days to engage in closer economic ties with Southeast Asia’s biggest economy. Rosan Roeslani -- the investment minister and the boss of the sovereign fund Danantara -- was among the government officials that Parmelin met during the trip.

“And yes, I did speak with Mr. Roeslani. We tried to pinpoint the priority areas [for investments]. Because to invest, there must be a framework. And we already have the CEPA, as well as the bilateral investment treaty,” Parmelin told the press on the margins of an infrastructure conference.

According to Parmelin, the Swiss businesses and the Indonesian government are eyeing similar priority areas, on top of the aforementioned treaties, suggesting that it should be easier for them to close a deal.

“We decided that we [Switzerland] can possibly invest in the sectors, which Indonesia considers to be of importance as well. … They are transport infrastructure, water, waste management, and renewable energy,” Parmelin said.

Around 150 Swiss companies are currently active in Indonesia, among others, the electrical engineering giant ABB and power technology supplier Hitachi Energy. Official government statistics showed that Indonesia recorded $244.9 million in investment inflows from Switzerland throughout last year. New Swiss investments totaled $49.13 million in the first quarter of 2025.

"With our CEPA in force, we have a solid foundation for trade and investment. There is ample room to grow further. Swiss companies bring decades of expertise in infrastructure, industrial solutions, mechanical engineering, and advanced technologies,” Parmelin said.

What About the $80 Billion Giant Sea Wall?

Parmelin had also met with Chief Infrastructure Minister Agus Harimurti Yudhoyono at the same conference that day. Agus, colloquially known as AHY, has been trying to bring foreign investors to fund the $80 billion giant sea wall megaproject. Indonesia wants to build a sea wall along the northern coastline of Java to prevent tidal floods. Parmeli did not specifically comment on Swiss’ interest in the project when asked by the Jakarta Globe during the press briefing. 

Speaking at a separate door-step interview, AHY said that Indonesia was open to “working with all partners, including Switzerland” on building the coastal defense. He, however, acknowledged it would take time for an investor to agree on taking part in a project as big as the giant sea wall. 

"I think this [Parmelin’s visit] serves as a good momentum. Perhaps we will have a follow-up meeting to have a more intensive discussion on the possible sectors we can work on," AHY said.

Read More: ‘Healthy Competition’: Swiss Exporters Unworried by Indonesia-EU Trade Pact