In a remarkable stride towards strengthening international collaboration, PT Pertamina, Indonesia’s state-owned energy company, has undertaken a groundbreaking US$ 1.5 billion investment in the renewable energy sector of Kenya. This significant venture involves partnership with two Kenyan energy enterprises, Geothermal Development Company and Guma Group.
Just like Indonesia, Kenya is a country that has large geothermal reserves. Several existing geothermal fields are even known to have geothermal potential of up to 1,000 MW.
During his official state visit to Kenya, President Joko Widodo expressed his resolute support for this investment. President Jokowi underlined that this corporate initiative from the national energy giant signifies an elevation of the Indonesian government’s investment presence in Kenya.
“I call for the support to swiftly realize and expand this investment in the renewable energy sector. There’s also a need to establish a bilateral investment agreement between our two nations,” President Jokowi remarked on August 21, 2023.
Beyond investments, President Jokowi also emphasized the necessity of boosting trade between Indonesia and Kenya. He highlighted that the trade value between the two countries reached U$ 507 million in 2022.
President Jokowi envisioned Indonesia as a gateway for Kenya into Southeast Asia, while Kenya could serve as an entry point for Indonesia to Sub-Saharan Africa. This trade and investment relationship forms a symbiotic mutually beneficial alliance.
“The trade engagement must be expanded by exploring various other opportunities. To achieve this, I urge the swift establishment of a special trade agreement,” President Jokowi asserted.
The third significant outcome of President Jokowi’s state visit was the collaboration in vaccine development and pharmaceutical products. This was formalized through an MoU between PT Bio Farma, Biovacs, and Generic Africa Ltd.
Furthermore, President Jokowi disclosed Indonesia’s commitment to supporting Kenya’s healthcare through Indonesia Aid. He emphasized that this assistance not only strengthens Indonesia’s dedication to healthcare but also extends to food security and disaster management initiatives in Kenya.
Lastly, President Jokowi invited the Kenyan government to fortify the spirit of Bandung among Global South nations.
“The time has come for the world to heed the voices and interests of developing countries, including their right to make developmental leaps,” President Jokowi stated.
President Jokowi highlighted that the relationship between Indonesia and Kenya has a rich history, dating back to the 1955 Asia-Africa Conference. This bond persisted six years later during the Non-Aligned Movement in 1961.
