February 8, 2024
Jakarta – The Indonesian government has stalled its bid to join the Organization for Economic Co-operation and Development (OECD) over Israel's objections, saying no formal decision has been made on the country's application.
Coordinating Economy Minister Airlangga Hartarto said the government is continuing negotiations with the OECD and no decision has been reached regarding Indonesia's accession.
“We are still in the application process [phase]. After this, we need to create a road map and stick to it. [Our proposal] May or may not be approved. The process is still long,” he said during a press conference on Monday.
Nikkei Citing anonymous diplomatic sources, it said on Sunday that Israel had objected to Indonesia's accession process to the OECD during the meeting of OECD ambassadors on January 29 and 30.
Israel is not necessarily opposed to Indonesia's membership, but has noted Indonesia's criticism of the situation in the Middle East and the country's military operations in Gaza. The lack of diplomatic ties between Jakarta and Tel Aviv serves as a contributing factor.
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Edi Prio Pambudi, Undersecretary for International Cooperation in the Office of the Coordinating Economy Minister, said that based on his discussions with the OECD Secretariat, no member countries opposed Indonesia's bid for entry.
“No decision was taken at the last OECD Council meeting as member countries requested for more time. Currently, the majority of member states are working to speed up Indonesia's accession decision,” Eddy said. Jakarta Post on Monday.
He said the OECD is an economic partnership organization that promotes policies with an orientation to best practices in developed countries and therefore has nothing to do with geopolitical issues.
Indonesia has expressed interest in becoming part of the OECD from 2022. Prior to the auction, Indonesia had cooperated with the OECD on several occasions, including as a key partner in 2014.
At the same time, the country decided not to submit any application to join BRICS, another multilateral grouping comprising Brazil, Russia, India, China and South Africa.
A decision on whether to open the process for Indonesia to join the organization was initially scheduled for an OECD ministerial meeting between December 2023 and January 2024.
The Nikkei The report suggested that Israel's objection could derail Indonesia's bid to join the OECD, as the organization requires unanimous agreement among its member states to make decisions.
Indonesia has long supported Palestinian independence and joined other countries in Southeast Asia in condemning Israel's military campaign in the Gaza Strip. It has also participated in diplomatic efforts to promote a permanent ceasefire in the conflict and wider access to humanitarian aid.
In January, Foreign Minister Redno LB Marsudi headed the Indonesian delegation An outing Along with dozens of diplomats during Israel's address to the United Nations Security Council (UNSC) meeting.
The ministry explained that the lack of a permanent representative of Israel prompted the walkout when representatives of Indonesia and the Organization of Islamic Cooperation (OIC) delivered their speeches.
Responding to a report on Israel's objection to Indonesia's OECD bid, Foreign Ministry spokesman Lalu Muhammad Iqbal said discussions on new OECD membership were held internally among existing members. Therefore, Indonesia did not participate in the discussions.
„Indonesia sees no connection between our application and our consistent stance of supporting Palestine [to become] Member of OECD,” Lalu said at a press conference on Monday.
Center for Economic Reforms (CORE) researcher Yusuf Rendy Manilet said Indonesia has a unique bargaining chip for the OECD, with its large gross domestic product (GDP) attracting international investors from OECD member countries.
He opined that the government should approach the OECD as an institution to endorse Indonesia's entry bid instead of initiating bilateral relations with Israel.
„I think the government has calculated the risk, so the plan to join the OECD will not directly change Indonesia's geopolitical view on Israel and Palestine,” Yusuf said. Mail.
He also noted that Israel's statement of objection to Indonesia joining the OECD could be seen as another form of geopolitical retaliation. The move mirrors sanctions imposed by several countries on Russia after its invasion of Ukraine.
In contrast, Dandy Rafitrandi, an economic researcher at the Center for Strategic and International Studies (CSIS), recommended that the government open formal or informal discussions with Israel.
He opined that this objection could be due to limited communication between the two countries due to lack of diplomatic relations. Therefore, the government has to check whether the move is politically motivated or not.
„Indonesia should have considered that the plan to join the OECD meant that it would have to interact with other country members, including Israel,” Dandy said. Mail On Tuesday.
read more: The government says the US, Australia, and others are helping Indonesia access the OECD
However, he doubted that Israel's objection would have any significant effect, as major countries such as the United States and Australia had supported Indonesia's bid.
During President Joko „Jokowi” Widodo's visit to the US for the Asia-Pacific Economic Cooperation (APEC) summit in November, US President Joe Biden expressed his support for Indonesia becoming a full member of the OECD.
Australian Senator Don Farrell showed his support for Indonesia's annexation during ministerial talks in the United States in November.