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Indonesia’s Trade Policy Regime amidst Global Challenges

POLICY BRIEF No. 28 – Dr Harry Wardana is an Economist at the Institute for International Trade, University of Adelaide. Indonesia's trade policy is currently shaped by a fragmented global trade environment marked by geopolitical tensions and supply chain disruptions. As an emerging economy in ASEAN, Indonesia faces significant challenges, particularly in managing the impacts of global inflation, commodity price volatility, and interest rate hikes. Despite these challenges, Indonesia has maintained steady economic growth, driven by strong fiscal and monetary policy coordination, robust domestic demand, and a positive current account balance. Looking forward, the new government led by Prabowo Subianto must navigate these global risks and chart a strategic path that fosters economic resilience and sustainable growth while maintaining Indonesia's neutral stance in regional geopolitical dynamics. 

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Funded under the EU Erasmus Plus Program, the Jean Monnet Network funds teaching and research on EU policies and fosters dialogue between academics, decision-makers and civil society actors around the world. 

Centre of Excellence in Trade & Environment    Jean Monnet Chair in Trade & Environment