Australia and Indonesia Advance Historic Partnership

I will co-chair with my Indonesian counterpart, HE Dr Hassan Wirajuda, the inaugural meeting of the Joint Commission for the Australia-Indonesia Partnership for Reconstruction and Development (AIPRD) on Thursday 17 March in Canberra.

The meeting will also be attended by the Treasurer, The Hon Peter Costello MP and Indonesia's State Minister for Development Planning, HE Dr Sri Mulyani Indrawati. The Indonesian Finance Minister, HE Dr Yusuf Anwar, will also attend on this occasion.

The Joint Commission is overseen by the Prime Minister and President Yudhoyono. Reflecting this, the Prime Minister will open this meeting of the Commission.

The $1 billion Partnership is the largest single aid commitment in Australia's history and constitutes an historic step in our relationship with Indonesia.

The meeting will be an important opportunity to agree principles and governance arrangements for the AIPRD.

It will also provide an early opportunity to agree a number of high priority areas for immediate assistance under the Partnership, including support for rehabilitation of essential services in Aceh following the devastation of the tsunami.

In addition to supporting reconstruction in tsunami affected areas, the Partnership will assist Indonesia's broader efforts to achieve development and raise the living standards of its people.

Funding for the Partnership is in addition to Australia's existing bilateral aid program, meaning that our development assistance to Indonesia will total over $1.8 billion over the next five years.

Indonesia is a close neighbour and important partner for Australia. This Partnership demonstrates our ongoing commitment to a strong and cooperative bilateral relationship.

Media inquiries : Chris Kenny (Ministerial) 02 6277 7500 , DFAT Media Liaison 02 6261 1555