🇨🇦 Canada strengthens trade ties with five new Indonesia initiatives
🤝 New climate and gender initiatives solidify Jakarta-Ottawa ties
📌 The Main Takeaway
Canada’s Secretary of State for International Development, Randeep Sarai, announced five new initiatives valued at CAD 22 million during his visit to Jakarta on Tuesday, Jan. 13, 2026.
These projects are designed to foster inclusive, sustainable, and climate-resilient economic growth in Indonesia.
📡 Why It’s on Our Radar
This announcement follows recent catastrophic environmental events in Sumatra.
The initiatives provide indirect but vital support to bolster Indonesia’s climate defenses and economic stability, helping to prevent similar consequences in the future while addressing ASEAN’s broader push for a digital economy and renewables.
⚖️ What’s at Stake
Climate Adaptation: Bridging the gap between current agricultural practices and climate-resilient agritech.
Trade Relations: The success of these projects underpins the Indonesia-Canada Comprehensive Economic Partnership Agreement (ICA-CEPA), aiming to eliminate trade barriers.
Regional Power Dynamics: Canada is pivoting toward Asia as an emerging power base, diversifying its diplomatic portfolio beyond the United States.
🛠️ The Initiatives
The CAD 22 million investment is divided into five targeted projects:
CRAFTS (CAD 5M / 6 Years): Promotes climate-resilient agri-food and helps SMEs boost productivity.
ELEVaTE (CAD 5M / 6 Years): Focuses on SME development, trade diversification, and strengthening business links with Canada and ASEAN.
Youth Networks (CAD 4.1M / 4 Years): Empowers rural youth with skills in climate technology and smart agriculture.
We Can (CAD 3.9M / 4 Years): Supports women’s leadership in climate mitigation and gender-responsive governance.
Midwifery Strengthening (CAD 4.6M / 3 Years): Improves medical education to reduce maternal mortality and enhance reproductive health access.
🏠 Why This Hits Home
Indonesia is racing toward Net Zero Emissions (NZE), aiming for a 19–23% renewable energy mix by 2030 and 70–72% by 2060.
Since 2000, Canada has already provided over CAD 1 billion in development assistance, making it a cornerstone of Indonesia’s green transition. 🍃
🌏 The Regional Stakes
Those commitments indicate a closer relationship between Canada and Indonesia, as well as the continuation of the Indonesia-Canada Comprehensive Economic Partnership Agreement (ICA-CEPA) to eliminate tariff and non-tariff barriers and create a conducive trade and investment environment between the two countries. It is signed in Ottawa, Thursday (25/9/2026),
Furthermore, Canada has a need to strengthen its partnership with Asia, a new emerging power, rather than its recently ineffective and multifaceted relationship with the United States.
Besides, Indonesia demands a broader multilateral diplomacy by participate to be a member of Trans-Pacific Partnership, especially since a number of ASEAN countries have already joined the cooperation.
Need More Angles?
Antara Kanada alihkan fokus dagang ke ASEAN pasca perang tarif dengan AS
Jakarta Globe Canada Pledges $18 Million to Help Indonesia Implement Trade Pact
Government of Canada Canada-Indonesia CEPA: Summary of benefits and negotiated outcomes
Prime Minister of Canada Office Joint statement on the bilateral meeting between Prime Minister of Canada Mark Carney and the President of Republic of Indonesia Prabowo Subianto
The Jakarta Post Canada to ratify trade deal with Indonesia before summer
(ADE/ELS/QOB)
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