Indonesia and Singapore have reaffirmed their commitment to bilateral cooperation following high-level diplomatic meetings addressing transboundary haze, energy supplies and regional economic relations.
Indonesian President Prabowo Subianto met Singaporean Minister for Foreign Affairs Vivian Balakrishnan at his residence in Hambalang, West Java, on 28 October 2026, as both countries sought to address recent concerns affecting their bilateral relationship.
The meeting followed discussions between Balakrishnan and Indonesian Foreign Minister Arrmanatha Christiawan Nasir in Jakarta on 27 October. The talks addressed several bilateral matters, including transboundary haze caused by forest and land fires, energy supply arrangements and broader regional cooperation.
During the ministerial discussions, Indonesia and Singapore agreed to establish a joint task force to strengthen cooperation in addressing transboundary haze. The mechanism is intended to improve information sharing, facilitate coordination between relevant authorities and support efforts to hold companies responsible for forest and land fires accountable.
The two countries also agreed to establish a direct communication channel between their foreign ministries to facilitate exchanges on bilateral concerns.
The diplomatic engagement took place amid differences over Indonesia's decision to reduce natural gas exports to Singapore to prioritise domestic electricity requirements. Indonesian officials maintained that the adjustments remained within existing contractual arrangements, while Singapore emphasised the importance of honouring commercial supply commitments.
Following his meeting with President Prabowo, Balakrishnan stated that both governments shared a commitment to addressing bilateral challenges through direct communication and cooperation. He also emphasised that respect for contractual obligations remained important for the credibility and competitiveness of both economies.
Despite the recent differences, both countries reaffirmed the importance of their longstanding economic relationship. Singapore remains Indonesia's largest source of foreign direct investment, with investment realisation reaching approximately USD 14 billion during the first nine months of 2026.
The discussions also covered regional cooperation ahead of Singapore's ASEAN chairmanship in 2027, as well as continued cooperation in energy, digital development and economic integration.
For businesses and investors, the diplomatic engagement highlights the importance of maintaining stable bilateral relations, particularly in areas involving cross-border energy supplies, investment commitments and regional supply chains.
Both governments have expressed their intention to continue discussions and implement the agreed cooperation mechanisms to address outstanding concerns.