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Indonesia and Singapore discuss reciprocal green lane, potentially boosting bilateral ties

As the largest investor in Indonesia, Singapore is of tremendous importance to the Indonesian economy. In the first quarter of 2020, realised investments from Singapore totalled US$ 2.7 billion, according to data from the Indonesian Investment Coordinating Board. As such, a reciprocal green lane allowing essential travel between the two countries could serve as a boost to bilateral ties, specifically in the economic and business sectors. Currently, Singapore has reciprocal green lane arrangements with China, Malaysia and Brunei. Indonesia has similar arrangements with China, South Korea and the United Arab Emirates.

Speaking with journalists from the foreign media, President Jokowi expressed his hope that a reciprocal green lane could pave the way for investments coming into Indonesia.

Singapore’s Ministry of Foreign Affairs also released a statement affirming the value of a reciprocal green lane given the strong business links between Indonesia and Singapore. However, it made the point that essential travel would have to resume gradually in a manner that would safeguard public health and safety in both countries.
The leaders of Indonesia and Singapore are also expected to meet later this year during an annual leaders’ retreat being hosted in Indonesia.

“Everything will revolve around the health and economic issues,” said President Jokowi when asked what would be at the top of the agenda.

Though Indonesia’s economy contracted by over 5% in the second quarter of 2020, President Jokowi remained optimistic about better growth in the third quarter and positive growth in the last quarter of the year.


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