PM Modi-President Prabowo agreed to cooperate on BrahMos Missile System
Prime Minister Narendra Modi and President Prabowo Subianto have discussed and reviewed a full spectrum of bilateral relations, including political engagement, defence and security cooperation, maritime cooperation, trade and investment, digital economy, science and technology, space, critical minerals, energy, agriculture, health, pharma, education, culture, tourism, youth exchanges and people-to-people ties.
The two leaders also witnessed the exchange of a number of bilateral documents, aimed at further strengthening the India-Indonesia Comprehensive Strategic Partnership, the Prime Minister’s Office said on 7 July following PM Modi’s visit to Indonesia from 6-8 July 2026.
They welcomed the elevation of defence cooperation, including through cooperation on BrahMos Missile System, and the Air-to-Air Missile Cooperation Agreement.
Both leaders identified collaboration in defence industry and technology as one of the priority areas of cooperation and agreed to expand mutually beneficial collaboration between the defence industries for joint production of equipment, technology transfer, technical assistance and capacity building, sourcing of defence equipment including cooperation in ship-building, establishment of MRO facilities for similar defence platforms, exploring establishment of defence R&D, and strengthening defence supply chain ecosystem. Both leaders welcomed progress in pharmaceutical collaboration between Armed Forces Medical Establishments of India and Indonesia on supply of military medicines.
The leaders welcomed the planned convening of the 3rd India-Indonesia Security Dialogue (IISD) as a platform to discuss security-related issues in a comprehensive manner. Through the dialogue, the two countries resolved to significantly enhance bilateral cooperation in countering terrorism, organized and transnational crime, emerging technology and cyber security, and defence industry, maritime, and space cooperation.
Both leaders also agreed to further discuss potential cooperation in cyber domain, including through policy dialogue, capacity building, sharing of best practices and exchanges of expertise on digital public infrastructure, financial technology, digital economy, artificial intelligence, digital forensics and Computer Emergency Response Team (CERT) cooperation, protection of critical information infrastructure and capacity building on digital skills.
The leaders highlighted that economic and trade cooperation remains a key pillar of the dynamic India-Indonesia ties. Both leaders acknowledged the vast economic and developmental synergies between India’s vision of ‘Viksit Bharat 2047’ and ‘Indonesia Emas 2045’, and the role of broader and deeper economic integration between the two countries for unlocking greater economic opportunities. Towards this, the leaders expressed desire for a timely conclusion of ASEAN India Trade in Goods Agreement (AITIGA) review for a balanced, mutually beneficial and facilitative trade environment, followed by a comprehensive deeper bilateral trade engagement to enhance bilateral trade.
Both leaders emphasised the need to fully utilise and strengthen the existing bilateral economic mechanisms, including the convening in 2026 of the 2nd meeting of the Working Group on Trade and Investment (WGTI), the 4th Biennial Trade Ministers’ Forum (BTMF), and the 1st meeting of the Joint Economic and Financial Dialogue (EFD). They noted that these mechanisms should work towards achieving concrete and business-oriented outcomes in addressing outstanding tariff and non-tariff issues, improving market access, facilitating trade and investment, and advancing cooperation in finance, digital economy, industry and supply chains, while respecting each country’s domestic regulations and development priorities.
The two leaders underscored the importance of further strengthening collaboration in critical minerals and rare earths with a focus on building diversified and resilient supply chains essential for the growth of domestic manufacturing industries towards reducing vulnerabilities and strengthening economic security. The leaders commended the growing collaboration between the two countries on rare earths, and in this regard welcomed the signing of the MoU between Non- Ferrous Materials Technology Development Centre (NFTDC), Midwest Ltds, and PT Perusahaan Mineral Nasional (PERMINAS).
The leaders also welcomed the signing of the MoU in cooperation in the field of Minerals and Technology of Steel Supply Chain. They also welcomed the Strategic Joint Venture between Steel Authority of India Ltd (SAIL) and PT Krakatau Steel to explore the establishment of Stainless-Steel Slab Manufacturing Facility in Indonesia.
Both leaders welcomed the progress towards the operationalisation of guidelines on Local Currency Transaction (LCT) between the Reserve Bank of India and Bank Indonesia and noted that this would further promote trade and investment between India and Indonesia and deepen financial integration between the two economies.
Both leaders noted the importance of the Red and White Cooperative Network as a potential logistical distribution platform in Indonesia, to deliver, among others, pharmaceuticals and medical products from both countries, in accordance with respective domestic laws and regulations.
The two leaders reaffirmed their commitment to strengthening health sector cooperation and welcomed the signing of the Implementation Arrangement on Professional Health Workforce Development. The Arrangement will strengthen cooperation through facilitation of fellowship programmes and skill enhancement programmes for professionals, hands-on clinical training in specialized medical fields, exchanges of health professionals and experts, sharing of best practices in medicine and health services, and other mutually agreed collaborative activities. They urged early conclusion of the MoU between BPOM and FSSAI on Regulatory Cooperation in the Field of Processed Food products.
The leaders also agreed to deepen cooperation in food security and nutrition, while respecting each country’s domestic policies.
The leaders agreed to strengthen cooperation in the fertilizer sector and underscored the importance of ensuring stable, affordable and reliable fertilizer availability amid evolving global market conditions.
The two sides reaffirmed their commitment to strengthening cooperation, joint studies, and capacity building in the field of energy security, including conventional, new and renewable energy, as mutually agreed, and welcomed enhanced collaboration in areas such as LNG, green hydrogen, bioenergy, solar energy, and energy efficiency technologies.
Both leaders emphasised the importance of enhanced maritime and air connectivity between the countries and encouraged greater air connectivity and port-to-port connections. Both leaders look forward to the 3rd Joint Task Force Meeting on Andaman-Aceh Connectivity to be convened in the second half of 2026 and for a plan of action to be implemented expeditiously.
President Prabowo welcomed India’s interest in partnering on the integrated development of the Sabang Port. Both leaders recognized that such a partnership —spanning cruise and marine-tourism facilities, maritime industries (ship-repair and shipbuilding), and shore-based services supporting offshore energy activities in the Andaman Sea — would foster institutional, physical, digital and flow of people and commodities between Andaman and Nicobar Islands of India and Provinces in Sumatra Island, that contribute to generating investment, employment, transfer of technology and shared regional prosperity. Both leaders encouraged their concerned authorities to work out the scope, modalities and financing of the project, consistent with Indonesia’s development plans and applicable regulations, in a time-bound and mutually beneficial manner.
Both leaders welcomed the launch of Indonesia Open Network (ION), based on Open Network for Digital Commerce (ONDC) architecture in India, to increase the participation of Indonesian MSMEs in the digital economy through digital networks.
The two leaders welcomed the progress towards the implementation of the Cross-Border QR Payment Linkage between India and Indonesia as agreed between the Reserve Bank of India and Bank Indonesia. This initiative marks an important milestone in strengthening bilateral payment connectivity between Indonesia and India. The linkage will enhance transaction efficiency, strengthen financial resilience, and promote inclusive economic growth, particularly by supporting MSMEs, tourism, and students.
Both leaders welcomed the conclusion of the MoU on Cooperation in the Field of Telecommunications Technologies and Services between India and Indonesia which will further strengthen cooperation in telecommunications technologies and digital connectivity to support inclusive economic growth and digital transformation.
The leaders welcomed the convening of the inaugural Joint Commission Meeting on Science and Technology (S&T) on 12 August 2025, and the signing of the MoU on Research, Technology and Innovation Cooperation between India and Indonesia.
The two leaders noted the ongoing discussions for cooperation in the peaceful uses of nuclear energy between the two countries, which would further strengthen collaboration in research, capacity building, and nuclear safety. They welcomed efforts to promote the use of civil nuclear energy, including the related regulatory and technological advancements and applications in industry, nuclear medicine, agriculture, and water management.
List of Key Outcomes: Prime Minister’s visit to Indonesia – MoUs / Agreements:
Extension of Framework Agreement on Cooperation in Exploration and Uses of Outer Space for Peaceful Purposes
MoU on Cooperation in the field of Minerals and Technology of Steel Supply Chain
MoU on Cooperation in the field of Agriculture and Allied Sectors
MoU on Cooperation in the Field of Telecommunications Technologies and Services
Cooperation on BrahMos Missile System
Air-to-Air Missile Cooperation Agreement
Strategic Joint Venture between Steel Authority of India (SAIL) and Pt. Krakatau Steel for establishment of Stainless-Steel Slab manufacturing facility in Indonesia
MoU between Non-Ferrous Materials Technology Development Centre (NFTDC), Midwest Ltds., and PT PERMINAS on development of Rare Earth Magnets
Announcements:
Setting up of Indian Institute of Management, Bangalore branch campus at Singhasari SEZ, Indonesia
Launch of Indonesia Open Network (ION), based on Open Network for Digital Commerce (ONDC) architecture in India
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