As International Interest in Indonesia Grows, President Joko Widodo Is Closely Watched

The second concerns Jakarta’s instincts regionally and globally. President Jokowi returned from APEC and the G20 Summit in Australia pledging a more pragmatic line in foreign policy: judging friends by the benefits they offer. This makes sense, but in an interconnected Asean region and wider world Indonesia’s interests — like everybody else’s — are increasingly intertwined with those of others. The North Atlantic financial crisis and the global shocks that followed have prompted some politicians not least in Europe to move towards isolationism and mild forms of commercial nationalism. These are not errors Jakarta should imitate.

Whether it is managing regional free trade and import policy, building long-term trading links through the World Trade Organization or regional agreements like the US-led Trans-Pacific Partnership, dealing with the cross-border effects of forest fires or the spread of terrorism, Southeast Asia badly needs a Jakarta that is engaged, open and forward-looking. So the “Jokowi doctrine” needs to combine a growing sense of Indonesia’s leadership capacity and responsibilities with a generous vision of self-interest.

Third, an area where Indonesia’s credentials have been well established and where it can and should continue to lead is on environmental stewardship. Jokowi shows every sign of carrying over the previous administration’s sense of environmental leadership to his own. He is right that striking the right balance between economic growth and preserving Indonesia’s vital natural resources is among his greatest challenges. It is also one in which Jakarta’s views at their most enlightened can set an example for others.

Understandably, the new administration is unlikely to be in the market for advice from foreigners and it is hard to fault Jokowi’s fundamental belief that he was elected to serve first and foremost the men and women who put him in office. It may seem odd that the details of Jakarta’s fuel subsidy regime or trade policy are the subject of careful debate and analysis in London or New York, but this is a sign of Indonesia’s growing importance. As with China and Japan, outsiders increasingly see Jakarta’s decisions as regional and even global in their ramifications. For the new president and House of Representatives this should not be seen as an intrusion, but as a new phase in Indonesia’s formidable rise.

Peter Mandelson is a former European trade commissioner and British first secretary of state. He is currently the chair of Global Counsel, a strategic advisory firm based in London.