Indonesia positions Jakarta as Hub for RCEP Secretariat Amidst Global Economic Fragmentation
Jakarta,Indonesia – December 2,2023,14:15 WIB – As global economic fragmentation intensifies,Indonesia has publicly offered to host the permanent secretariat for the Regional Complete Economic Partnership (RCEP) in Jakarta,signaling a commitment to strengthening regional economic integration. This move, alongside discussions among RCEP leaders regarding institutional upgrades, aims to transform monitoring and capacity-building efforts from sporadic activities into routine operations. The offer aligns RCEP with other initiatives coordinated under the Association of Southeast Asian Nations (ASEAN), bolstering the region’s role in navigating a shifting global landscape.
The escalating geopolitical tensions and increasing protectionist measures worldwide are fracturing established trade relationships and supply chains. RCEP, encompassing 15 Asia-Pacific nations including all ten ASEAN members plus Australia, China, Japan, New Zealand, and South Korea, represents a crucial counterweight to these trends. establishing a permanent secretariat is considered vital for the agreement’s long-term success, ensuring consistent implementation and addressing emerging challenges. The potential location in Jakarta underscores Indonesia’s growing influence within ASEAN and its ambition to serve as a central node for regional economic cooperation.
Leaders have recognized the need to move beyond the current, limited support unit for RCEP. A permanent secretariat will facilitate ongoing monitoring of the agreement’s impact, provide capacity building assistance to member states, and address potential disputes. This institutionalization is intended to ensure RCEP remains a dynamic and effective force in promoting trade and investment within the region, even as the broader global economy faces increasing uncertainty. The offer to host the secretariat in Jakarta positions Indonesia to play a pivotal role in shaping RCEP’s future direction and solidifying its contribution to regional stability and prosperity.
