Tokyo, 12 May 2026 – Vice Chair of the National Economic Council (DEN), Prof. Mari Elka Pangestu, officially received the highly prestigious Order of the Rising Sun, Gold and Silver Star directly from the Emperor of Japan at a state ceremony held at the Imperial Palace, Tokyo, on Tuesday (12/5).
This prestigious award was conferred in recognition of Mari Elka’s dedication and extensive process in building a solid foundation for economic, trade, investment, and tourism cooperation between Indonesia and Japan.
The Order of the Rising Sun (Kunshō) is a prestigious national decoration awarded by the Emperor of Japan, with the Gold and Silver Star representing the second-highest class among its six ranks. This conferment reflects the strategic milestones achieved during her tenure as Minister of Trade (2004-2011), where she led and concluded negotiations for the Indonesia-Japan Economic Partnership Agreement (IJEPA). The agreement, signed in August 2007 and effective in July 2008, serves as a historic milestone as Indonesia's first bilateral economic partnership agreement.
"Japan and Indonesia share a highly strategic relationship. Japan has been a longstanding partner for Indonesia since the country began its development process in the 1970s and 1980s, and the relationship became even stronger following IJEPA and the ASEAN-Japan agreements. I very much hope that, with the ratification and implementation of the Protocol Amending IJEPA nearing completion, Indonesia and Japan will achieve a deeper, broader, and more mutually beneficial partnership, especially amid today’s global uncertainty," said Mari Elka.
From the outset of its formulation, IJEPA was anchored in the values of equality and genuine partnership, rather than merely serving as a conventional trade instrument. IJEPA is built upon three main pillars: trade liberalisation, trade and investment facilitation, and capacity-building cooperation.
This capacity-building pillar stands as a value breakthrough initiated by Indonesia. Recognising the asymmetry in economic and industrial capacity at the time, the negotiation process was directed to ensure that Japan contributed to improving the competitiveness of Indonesia's human resources and domestic industries. This value- and process-based approach ensures that the benefits of the partnership can be felt inclusively and tangibly by both parties. This model later became a benchmark for Indonesia in formulating various subsequent international agreements.
The implementation of IJEPA has yielded concrete achievements. Through the Manufacturing Industry Development Center (MIDEC) programme and the User Specific Duty Free Scheme, the national manufacturing sector was facilitated to gain technological transfers and raw material efficiency. Furthermore, IJEPA pioneered market access for professional workers (Movement of Natural Persons). To date, more than 15,000 Indonesian nurses and caregivers have been employed in Japan, earning high appreciation for their work ethic.
This structured partnership has proven to drive the escalation of the bilateral economy. In 2025, the value of Indonesian exports to Japan reached USD 17.6 billion, with total bilateral trade amounting to USD 32.1 billion—recording a surplus for Indonesia. In the investment sector, cumulative Japanese capital inflows reached USD 17.1 billion during the 2021-2025 period. These capital flows were directed to strengthen crucial sectors, ranging from automotive manufacturing expansion and strategic infrastructure development such as the Jakarta MRT, to the strengthening of financial services.
Her efforts to weave bilateral relations were also continually extended across various sectors. While serving as Minister of Tourism and Creative Economy (2011-2014), she pioneered strategic cooperation in the creative industry, particularly in the animation, gaming, and film ecosystems.
Currently, in addition to her duties as Vice Chair of DEN, Mari Elka is also entrusted by the government as the Presidential Special Envoy for International Trade and Multilateral Cooperation. Her dedication on the global stage was also evident during her tenure as Managing Director of Development Policy and Partnerships at the World Bank (2020-2023).
