India and Indonesia announce strategic partnership for integrated development of Sabang Port
Jakarta, July 7
In a significant move to bolster regional maritime infrastructure, Indonesian President Prabowo Subianto has welcomed India's interest in partnering on the integrated development of the Sabang Port.
According to the joint statement released by the Ministry of External Affairs following the bilateral talks between Prime Minister Narendra Modi and the Indonesian President, this flagship project is expected to cover cruise and marine-tourism facilities, maritime industries like shipbuilding and ship-repair, and shore-based services that support offshore energy activities in the Andaman Sea.
Both leaders noted that this partnership will foster institutional, physical, and digital connectivity, facilitating the flow of people and commodities between India's Andaman and Nicobar Islands and Sumatra Island while driving employment and shared regional prosperity.
Authorities from both nations have been encouraged to work out the scope, modalities, and financing of the project in a time-bound and mutually beneficial manner.
Beyond port development, the two nations also affirmed to intensify efforts to improve regional connectivity. The leaders emphasised the importance of enhanced air and maritime links and look forward to the 3rd Joint Task Force Meeting on Andaman-Aceh Connectivity, scheduled for the second half of 2026, to implement an action plan expeditiously.
The bilateral agenda also saw major breakthroughs in digital and scientific cooperation. The leaders welcomed the launch of the Indonesia Open Network (ION), which utilises India's Open Network for Digital Commerce (ONDC) architecture to support Indonesian MSMEs.
Additionally, progress continues on the Cross-Border QR Payment Linkage between the Reserve Bank of India and Bank Indonesia to enhance transaction efficiency for students, tourists, and small businesses. A new Memorandum of Understanding (MoU) on telecommunications technologies and services was also concluded to further support digital transformation.
Scientific collaboration has reached new heights, with the leaders reflecting on the inaugural Joint Commission Meeting on Science and Technology held on August 12, 2025 and the signing of an MoU on Research, Technology, and Innovation Cooperation.
Space cooperation remains a cornerstone of the relationship, highlighted by the successful 6th Joint Commission Meeting on Outer Space Cooperation in Bengaluru this June and the extension of their framework agreement on the peaceful exploration of outer space.
Prime Minister Modi expressed appreciation for Indonesia's support of India's satellite programs and the Gaganyaan Mission, while President Prabowo welcomed potential space ecosystem-level collaboration on Indonesia's space port project.
Furthermore, both nations are engaged in ongoing discussions to cooperate on the peaceful uses of nuclear energy, focusing on research, safety, and industrial applications in medicine, agriculture, and water management.
— ANI
Reader Comments
This is what real diplomacy looks like - practical projects that benefit both sides. The digital cooperation through ONDC and cross-border QR payments will make life easier for students and small businesses. Just hope the implementation follows the ambitious timeline. Curious about the financing details though.
Sabang and Aceh connectivity with Andaman - this is a game changer for NE India and the eastern seaboard. China's been building ports all around us, and this is a timely counter. However, we need to ensure environmental safeguards are in place. The Andaman ecosystem is fragile and should not be compromised for development. 🌊
Interesting to see India's ONDC model being exported to Indonesia. It's a good example of Indian tech innovation helping other developing nations. The space cooperation and nuclear energy discussions show how deep this relationship has become. Keep it up, MEA!
As someone from Chennai who travels to Southeast Asia often, better connectivity between Andaman and Sumatra would be fantastic! But I'm a bit worried about local communities in the Andamans - they need to be consulted properly. Development shouldn't be at the cost of indigenous rights. Hope the project includes proper social impact assessments. 🙏
Sabang Port + nuclear energy cooperation + space partnership = this is not just any strategic partnership. This is a comprehensive gameplan for the Indo-Pacific. Pakistan must be sweating seeing India's growing influence in ASEAN. Meanwhile, our opposition keeps crying about irrelevant issues while Modi ji is building bridges across oceans
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