Will Indonesia Finally Open to Economic Diplomacy with Israel?

The United States encourages Indonesia to open economic relations with Israel. Bloomberg reported that the US government planned to offer billions of dollars to Indonesia but on the condition that it would follow other countries establishing and normalizing formal diplomatic ties with Israel.

The Chief Executive Officer of the US-International Development Finance Corporation (IDFC), Adam Boehler, assured that IDFC could double its investment portfolio from its initial commitment of US$1 billion. "If they are ready, we will support more financially than the current one," Boehler said in an interview with Bloomberg in Jerusalem on December 21, 2020.

In an interview with The Jerusalem Post, Israel's Intelligence Minister, Eli Cohen, also mentioned that Indonesia had the opportunity to establish diplomatic relations with Israel. However, the Foreign Affairs Ministry’s spokesperson, Teuku Faizasyah, denied this. "We have never had any contact with Israel. Our foreign policy is clear, we are consistent with the mandate of the constitution," he said. For the record, the preamble of Indonesia’s 1945 Constitution dictates that Indonesia strongly opposes colonialism. Therefore, it is impossible to establish any diplomatic relation with Israel due to its illegal occupations in Palestine.