OECD opens accession discussions with Indonesia

The OECD will prepare a draft accession roadmap for the technical review process for Indonesia. (Photo: AP)

Jakarta (VNA) – The Organisation for Economic Cooperation andDevelopment (OECD) has decided to open accession discussions with Indonesia, pavingthe way for the country to achieve its vision of becoming an advanced economyby 2045.

OECD Secretary-General Mathias Cormann described the decision as a historicone, saying Indonesia’s application is the first from Southeast Asia – one ofthe most dynamic growth regions in the world.

As the largest economy in Southeast Asia, Indonesia is a significant globalplayer, providing important leadership across its region and beyond, he said,adding the decision will benefit both Indonesia and the OECD.

Cormann highlighted that the country engaging in the discussion process willalso help further strengthen the OECD’s global relevance and impact.

The OECD will prepare a draft accession roadmap for the technical reviewprocess which includes a rigorous and in-depth evaluation by more than 20technical committees of Indonesia’s alignment with OECD standards, policies andbest practices.

The technical reviews will cover a wide range of policy areas, and will focuson priority issues including open trade and investment, progress on publicgovernance, integrity and anti-corruption efforts as well as the effectiveprotection of the environment and action and tackle climate change.

There is no deadline for completion of theaccession process, meaning the outcome and timeline depend on Indonesia’scapacity to adapt and adjust to align with the OECD’s standards and bestpractices.

Normally, it takes a country from five to eight years to reach a full-fledged memberstatus.

A new member’s admission requires unanimity. In the other words, all OECDcountries have to give their consent before they can finally accept Indonesiainto the group.

Indonesia officially applied to be part of the OECD last July, although it hasbeen a key partner to this rich country club since 2007.

An OECD membership is expected to drive economic reforms in the country. Ifaccepted, Indonesia will be the third Asian economy to join the OECD afterJapan and the Republic of Korea.

Indonesia’s bid to join the organisation has earned support from its members, including theUK./.

VNA