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Australia launches A$33m Indonesia program phase

Australia said it would launch a new Katalis phase in Indonesia to deepen economic ties, support IA-CEPA, and strengthen regional cooperation.

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Key Developments

On 12 July 2026, Ministers and Assistant Ministers (DFAT) said an Australian minister was visiting Indonesia to launch a new A$33 million phase of the Katalis economic cooperation program and discuss stronger bilateral cooperation under IA-CEPA.

Key Statistics

  • A$33 million in new Australian funding for the next Katalis economic cooperation phase with Indonesia
  • 34 million people covered by Australia’s historical consular focus in Makassar and eastern Indonesia
  • Nearly 3 times growth in bilateral trade since IA-CEPA entered into force, according to historical government context
  • A$200 million in historical Australian funding allocated for grassroots rugby league diplomacy in the Pacific

Main Body

On 12 July 2026, Ministers and Assistant Ministers (DFAT) said an Australian minister was visiting Indonesia to strengthen bilateral relations and launch a new A$33 million phase of Katalis, the economic cooperation program supporting the Indonesia-Australia Comprehensive Economic Partnership Agreement.

The DFAT ministerial announcement said discussions during the visit would focus on helping both countries make greater use of IA-CEPA and on working together on global challenges. The same announcement framed the visit as part of Australia’s effort to deepen cooperation with Indonesia and support regional stability and prosperity.

The visit followed other recent Australian government activity focused on Indonesia. On 5 July 2026, the Minister for Foreign Affairs announced Sanchi Davis as Consul-General in Makassar and said the post supported engagement with eastern Indonesia, a region covering 34 million people. The Minister for Foreign Affairs also linked the relationship to the Jakarta Treaty 2026 and said bilateral trade had almost tripled since IA-CEPA took effect in 2020.

The development mattered because the DFAT ministerial announcement presented economic cooperation with Indonesia as a practical tool for regional stability and shared prosperity. In a separate 7 July 2026 speech, Ministers and Assistant Ministers (DFAT) said Australia’s Indo-Pacific approach emphasized partnership, development, and investment in human capital during a period of global uncertainty.

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AI-assisted summary: Created with help from AI models; it may omit context or contain errors. Verify important claims with original sources. Informational only, not professional advice.