Indonesian Consulate in Johor Promotes Strengthening of Economic Cooperation between Indonesia and Pahang
The cultural and historical closeness between Indonesia and Pahang must be elevated to become a real and sustainable economic force.
Kuala Lumpur (ANTARA) - The Consulate General of the Republic of Indonesia (KJRI) in Johor Bahru is promoting the strengthening of economic cooperation between Indonesia and the state of Pahang, Malaysia.
The commitment to tighten economic collaboration between the two parties was strongly affirmed during a business meeting titled “Exploring Business Opportunities with Indonesia”, held in Kuantan, Pahang state, Malaysia, on Monday (13/4).
In a statement received by ANTARA in Kuala Lumpur on Tuesday, KJRI Johor Bahru stated that the business meeting initiated by KJRI Johor Bahru at a hotel in Kuantan serves as an important momentum in remapping the strategic cooperation landscape in the region.
The Consul General of the Republic of Indonesia in Johor Bahru, Sigit S. Widiyanto, in his remarks, emphasised that the cultural and historical closeness between Indonesia and Pahang must be elevated to become a real and sustainable economic force.
“Indonesia is present not merely as a market, but as a stable strategic partner. We offer the potential for developing an integrated supply chain that complements the industrial structure in Pahang,” Sigit asserted.
In agreement, the Pahang State Executive Council member for Investment, Industry, Science, Technology and Innovation, Dato’ Mohamad Nizar bin Dato’ Sri Mohamad Najib, described this cooperation as a strategic mitigation step.
According to him, amid global uncertainties, strengthening ties with a neighbour that has a strong economic foundation like Indonesia is a logical and appropriate choice.
On that occasion, in addition to presenting the 2026 international trade exhibition calendar, KJRI Johor Bahru highlighted two main pillars that will serve as game changers for businesses in Pahang.
First, Logistics Connectivity, concerning the acceleration of Roll-on/Roll-off (RoRo) ferry routes from Dumai–Melaka and Batam–Johor, which will significantly reduce logistics costs.
Second, Financial Resilience related to the implementation of the Indonesia–Malaysia Local Currency Transaction (LCT) scheme.
The LCT scheme enables transactions using local currencies (rupiah-ringgit), thereby reducing dependence on the US dollar and minimising exchange rate risks.
As a concrete follow-up, during the business meeting, both parties agreed to explore the establishment of a Pahang-Indonesia Business Forum, projected to become a sustainable platform for more structured business matching, as well as a permanent communication channel to accelerate the realisation of investments and trade.
The business meeting in Kuantan received full support from the Pahang State Economic Planning Division (BPEN) and was attended by strategic entities from business associations such as DPMM Pahang, KCCCI, Koperasi Angkasa, PASFA, MyBHA, and KOSMA.
As well as Pahang State-Owned Enterprises (BUMN), including PKPP, Yayasan Pahang, PKCH, Pahang Mining Corporation, Pahang Corporation, and PSK.
KJRI Johor Bahru stated that with broad participation from the public and private sectors, the business meeting event is expected not only to stop at dialogue but to transform into business contracts that strengthen regional economic resilience.