The Hon Stephen Smith MP, Australian Minister for Foreign Affairs and Trade
Australian Commonwealth Coat of Arms

The Hon Stephen Smith mp

Australian Minister for Foreign Affairs and Trade

Visit to Indonesia

Media release

15 July 2010

I visited Indonesia on Wednesday 14 July and Thursday 15 July 2010.

I met Indonesian Foreign Minister Marty Natalegawa and discussed with him our strengthening strategic partnership across a range of strategic and foreign policy interests includingdevelopment assistance, law enforcement, disaster management, counter-terrorism, climate change, and people smuggling.

Consistent with this partnership, we discussed the commencement of Annual Leaders' Meetings and '2+2' meetings of Foreign and Defence Ministers from both sides.

We had a positive exchange on bilateral and regional work to counter people smuggling and human trafficking, including through our joint chairing of a Bali Process Ministerial Meeting.

I was pleased to brief Foreign Minister Natalegawa on Prime Minister Julia Gillard's proposal to establish a regional protection framework including a regional processing centre. We agreed to discuss the proposal further, including in the context of the Bali Process.

In my meeting with Indonesia's Minister for Trade, Dr Pangestu, we agreed on the importance of increasing trade and economic links between Australia and Indonesia. We discussed the ASEAN – Australia – New Zealand Free Trade Agreement and the Doha Round.

I reaffirmed Australia's view that an Indonesia-Australia Economic Partnership Agreement was the best way to build on our economic, trade and investment links. We look forward to commencing negotiations.

I also met senior members of KADIN, the Indonesian Chamber of Commerce and Industry, to discuss ways to enhance the bilateral trade and economic relationship.

Together with Dr Natalegawa, I opened Madrasah Balaraja, a state junior secondary Islamic school in Tangerang, Banten Province, outside Jakarta. This school is the 2000th school built in Indonesia with Australian assistance.

Australiawill continue its partnership with Indonesia in basic education and we look forward to building more schools.

With Dr Natalegawa and the chair of Indonesia's National Disaster Management Agency, Dr Syamsul Maarif, I also opened the Australia Indonesia Facility for Disaster Reduction. The Facility is a practical partnership with Indonesia which helps it address the challenge of natural disasters by strengthening Indonesia's ability to prepare for and respond to natural disasters.

During my visit we concluded a Debt to Health swap, Australia's first, with Indonesia and the Global Fund. Under the swap Australia has agreed to cancel $75 million in debt owed by Indonesia in return for Indonesia investing $37.5 million in the Global Fund to fight tuberculosis.

This Saturday 17 July is the first anniversary of the Ritz-Carlton and Marriott hotel bombings. I took the opportunity to pay respects to the three Australians killed at the memorial to them within the grounds of the Australian Embassy.

Our thoughts are with the family and friends of the seven innocent victims who died at this time last year in the terrorist attacks. We remember the Austrade officer Craig Senger, as well as the other two Australians killed, mining executive Garth McEvoy and Perth businessman Nathan Verity.

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