Faith Nyasuguta
Indonesia’s attempt to deepen economic ties with African nations at a summit in Bali this week was overshadowed by a noticeable absence of high-profile leaders, many of whom chose to attend a parallel event in Beijing instead.
As Jakarta aimed to boost its presence in Africa, it has found itself competing with the powerful draw of China, which is successfully hosting its own high-profile Forum on China-Africa Cooperation (FOCAC).
While representatives from 29 African countries did travel to Bali for the three-day Indonesia-Africa Forum, this is a significant drop from the 47 countries that attended the inaugural event in 2018. Despite the lower turnout, Indonesian President Joko Widodo expressed optimism, announcing that the forum had still yielded $3.5 billion in business deals. But as the summit concluded, many delegates left Bali and headed straight to Beijing, where the FOCAC attracted representatives from 50 African nations.
“Between Indonesia and China, the major African leaders chose China,” said Christophe Dorigne-Thomson, an expert in foreign affairs based in Indonesia. “That doesn’t mean the Indonesia-Africa Forum lacked substance, but symbolically, the choice was clearly in China’s favor.”
Historically, Indonesia has boasted strong ties with Africa, dating back to the 1955 Bandung Conference, where newly independent African states found common ground with Asian nations in their struggles against colonialism. Indonesia has sought to leverage this historical connection, emphasizing the “spirit of Bandung” at this year’s forum. However, the allure of China’s financial and political clout proved difficult to match.
Under President Widodo, who took office in 2014, Indonesia’s interest in Africa has grown, particularly in the economic realm. During the first Indonesia-Africa Forum in 2018, roughly $600 million in deals were signed. This year, Jakarta ambitiously targeted nearly six times that amount, seeking to bolster its economic links across the continent.
Among the deals announced were agreements between Indonesia’s Energi Mega Persada and Guma Africa Group for a gas project in South Africa, potentially valued at up to $900 million. The project aims to enhance gas supplies to South Africa and Mozambique and includes plans for a new gas power plant. However, while these high-profile deals attract attention, much of the actual business activity involves smaller agreements.
“A lot of the businesses involved are micro, small, and medium enterprises,” noted Elina Noor, a senior fellow at the Carnegie Endowment for International Peace. “The headlines may focus on the big corporations, but the real action is often in these smaller, more grassroots-level deals.”
Indonesia also sees Africa as a vital partner for securing critical minerals like lithium, which are essential for its burgeoning electric vehicle battery industry. While Indonesia has a booming nickel sector, it needs lithium to complement its battery production efforts.
“Africa, with its rich mineral reserves, is a key supplier for Indonesia’s industrial ambitions,” said Sharyn Davies, director of the Herb Feith Indonesia Centre at Monash University.
In addition to expanding trade, Jakarta is also looking to diversify its economic relationships beyond traditional partners like the US and China. As tensions continue to simmer between these two global giants, Indonesia hopes that deepening ties with Africa could help it avoid being caught in the crossfire. “Africa could provide Indonesia a way to sidestep the geopolitical tensions between China and the US,” Davies added.
Yet, the Bali forum was not only about economics; politics played a significant role. President Widodo is keen to elevate Indonesia’s international standing as a voice for the Global South.
“Indonesia is not a follower in the Global South movement; it’s a founding member,” said Dewi Fortuna Anwar, a senior researcher at Indonesia’s National Research and Innovation Agency. “Unlike some, Indonesia stresses the importance of both South-South and North-South cooperation, positioning itself as a bridge builder.”
Still, the stark difference in attendance between the Bali forum and the Beijing summit underlines the challenges Indonesia faces in establishing itself as a preferred partner for Africa. While Jakarta emphasizes its historical ties and collaborative spirit, China’s massive investments and strategic partnerships continue to draw Africa’s attention.
For Indonesia, the path forward may lie in balancing its historical connections with new economic opportunities, all while navigating a world increasingly divided between the East and the West.
RELATED: