Bank Indonesia (BI) and the Monetary Authority of Singapore (MAS) announced the extension of the US$10 billion bilateral financial arrangement for another year - Photo by President Office

Nusa Dua (TheInsiderStories) – Bank Indonesia and Monetary Authority of Singapore (MAS) have signed bilateral swap and repo agreements worth of US$10 billion on Thursday (11/10) at the Indonesia-Singapore Leader’s Retreat meeting in Nusa Dua, Bali.

This was announced by President Joko Widodo together with Singapore’s Prime Minister, Lee Hsien Loong after the signing of bilateral agreement and three MoUs between Indonesia and Singapore.

“We welcome the swap and repo collaboration between BI and MAS for a total of US $ 10 billion,” President Widodo said.

While Premier Lee added, the collaboration between BI and MAS was carried out to respond to external conditions in global financial markets that affect all markets in the world including Southeast Asian countries (ASEAN) and Indonesia. He stated, “Later, BI will conduct local currency swap and US dollar repo with MAS through an agreement.”

At the same time both countries also signed three bilateral agreements and four memorandum of Understandings at the meeting. Since last year, Singapore and Indonesia has preparing six investment partnership to improve the bilateral relationships between the two countries.

During Widodo visit to Singapore in 2017, He and Lee has discussed potential investment as well as issues of tourism, energy and digital economic relationship between the two countries.

To attract more investment, the Indonesian government has decided to extend Singaporeans a more updated tax incentive as a sweetener. The Double Tax Agreement or Tax Treaty currently in force has not been updated for the last 30 years.

Singapore had previously requested its Infrastructure Hub Team to finance infrastructure investment in Indonesia. The Hub Team, a unit that promises to position Singapore as a location to attract international banks and funding, will then be able to channel such funds into infrastructure projects.

At the meeting, both sides have signed a various agreement namely Promotion and Protection of Investments (Bilateral Investment Treaty Between Minister of Foreign Affairs Retno Marsudi and Minister of Trade and Industry Chan Chun Sing.

Cultural Cooperation Programme for the Years 2019 to 2021 Concerning Cooperation in the Fields of Arts and Heritage between Minister for Education and Culture Muhadjir Effendy and Minister for Culture and Youth Grace Fu.

Financial Technology Cooperation between Financial Services Authoruty Chairman Wimboh Santoso and Managing Director, Monetary Authority of Singapore Ravi Menon

The Cooperation for Development and Implementation of Industry 4.0 between Head of Agency for Research and Development for Industry Ministry Ngakan Timur Antara and CEO Enterprise Singapore Png Cheong Boon.

The Programme for Financial  Technology Learning for Higher Education Providers between Ministry of Research, Technology and Higher Education Director of Learning Paristiyanto Nurwadani with Principal Ngee Ann Polytechnic of Singapore Clarence Ti

6. Cooperation on HRD of the Government Officers in the Maritime Field between Directorate General of Sea Transportation for Transportation Ministry Agus Purnomo and chief executive Maritime and Port Authority of Singapore Andrew Tan.

And, Curise Ship Calling between PT Pelabuhan Indonesia III Director Joko Noerhudha and SVP Genting Cruise Lines Raymond Lim Jiun Yan.

Meet UN Secretary General 

President Joko Widodo Meet United Nation Secretary General Antonio Guterres – Photo by President Office

At the same day, President Widodo meet the Secretary General of the United Nations (UN) Antonio Guterres. When meeting, President Widodo and Guterres discussed a number of things including the earthquake disaster in Central Sulawesi and Palestinian peace.

Giving testimony after the meeting, Foreign Minister Retno Marsudi said that the UN Secretary General conveyed deep sorrow for the victims of the earthquake and tsunami disaster in Central Sulawesi and Lombok.

With regard to world peace which is also the talk of both parties, the UN Secretary General appreciated Indonesia’s position on peace efforts in Palestine. In addition, Indonesia is also considered a vital partner for the United Nations in creating world peace.

Indonesia is known as the largest contributor to the sending of UN peacekeepers.

“Indonesia has the power and desire to be active in efforts to create world peace and prosperity. So the partnership between Indonesia and the United Nations is considered by the UN Secretary General to be excellent,” she said.

As for Indonesia’s diplomacy efforts to deal with problems in Rakhine State, Myanmar, the UN Secretary General considers that Indonesia is the right country to handle it in appropriate ways so that it can continue to contribute in the midst of difficult situations.

“The UN secretary general said that the way Indonesia approached the issue was considered appropriate so that Indonesia could contribute even though the situation was not easy. Progress was also still being encouraged, but Indonesia was believed to be able to continue to contribute in resolving the situation in Rakhine State,” he said.