Jakarta. The UK refreshed its commitment to reducing trade barriers with Indonesia as part of a recently announced partnership, as London backs Jakarta’s membership bid at the rich-country club OECD.

Earlier this year, the two countries made a trade breakthrough by unveiling a so-called “economic growth partnership” during President Prabowo Subianto’s state trip to London. A copy of the arrangement states that both countries will work on addressing technical barriers to trade. It is also part of a broader “new strategic partnership” arrangement that underlines better regulatory transparency and trade facilitation.

“That is about growing trade, growing people-to-people links, removing trade barriers, supporting investment,” British Ambassador to Indonesia Dominic Jermey told the King’s Birthday Party dinner reception in Jakarta on Wednesday.

The UK is also assisting ASEAN members on how they can enhance trade via technical assistance in a four-year economic integration program worth up to 25 million pounds (roughly $33.4 million). This program is expected to advance Indonesia’s OECD candidacy, according to Jermey. For context, the OECD is a group of developed economies where candidates have to undergo a rigorous review process.

“The program will bring support to Indonesia on its own economic priorities, on regulatory reforms, on strengthening the intellectual property enforcement, and [on] supporting Indonesia’s bid to join the OECD,” Jermey said.

Official statistics showed that Indonesia-UK’s annual trade had always been around the $2 billion mark in recent years, reaching almost $2.7 billion in 2025. Trade totaled $874.2 million in the first four months of 2026. 

The Indonesian government has signaled that a bilateral trade pact is in the pipeline. Senior minister Airlangga Hartarto had even said that the economic growth partnership document was the “first step” toward a comprehensive economic partnership agreement (CEPA). This kind of pact tends to cover broader aspects, not just tariff eliminations but also investment facilitation.

Indonesia has been eyeing a seat at the OECD, believing that it can be a national growth impetus. Airlanga was just in Paris last week, where he met with OECD Secretary-General Mathias Cormann. Indonesia is currently undergoing a “technical review”, among others, on whether the country promotes an open trade and investment regime. 

“We have submitted our 'initial memorandum' that aligns our national regulations with 240 OECD legal instruments across 26 policy areas. This reflects our reform priorities across the economy, social, and governance sectors,” Airlangga was quoted as saying in a press statement.

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