The group of Central European nations — comprising Poland, the Czech Republic, Hungary and Slovakia — has relatively consistent economic growth compared to other countries on the Old Continent, Teuku Faizasyah, the Foreign Ministry’s acting American and European affairs director general, said on Tuesday.

Poland, for instance, a country with the largest economy in the group and is in the top 10 in all of Europe, received some US$11.35 billion in foreign direct investments last year, an increase from $8.66 billion in 2017, according to the Organization for Economic Cooperation and Development — quite different from what is happening in the rest of Europe.

The average economic growth of V4 countries is 4.1 percent, surpassing the continental average of 2 percent. Their economies combined is the fifth-largest in Europe, giving the group a measure of bargaining power among European Union countries.

Last year, the trade volume between Indonesia and the V4 reached $1 billion, supported by investment growth in the latter and an increase in inbound tourists to the archipelago.

So far, economic interactions between Indonesia and the V4 are considered low, said Teuku.

“The plan [to enter their market] is one of the ministry's priority programs, in which we seek to strengthen our [economic] diplomacy,” he told a press briefing attended by the V4 countries’ envoys at the ministry's headquarters in Jakarta on Tuesday.

To better connect stakeholders from both sides, the government is set to host the 2019 Indonesia-Visegrad Group Business Forum on the sidelines of the Trade Expo Indonesia (TEI) this month. The forum will gather businesspeople from Indonesia and V4 countries and seeks to open doors for possible partnerships.

Hendra Halim of the ministry’s Europe II Directorate said 73 businesspeople from the V4 and another 50 from Indonesia had confirmed their attendance.

“This will be a business-to-business platform. We will be facilitating both parties,” Hendra said, noting the potential for new business deals when asked about government-to-government collaboration.

Known as an exporter of raw materials, Indonesia will try to sell a new range of commodities in response to the demands of V4 countries. Pharmaceutical products, for instance, are something the government will prioritize as it attempts to grow its market share. Pharmaceutical company Dexa Medica was the first to enter the Central European market.

“[Through Dexa Medica], we have booked transactions worth around 2.3 million euro [$2.53 million] thus far,” Hendra said, adding that the figure would grow in line with demand, especially for diabetes medication.

Other exports in Indonesia’s pipeline include automotive spare parts and fishery products.

The Central Europeans have welcomed Indonesia’s initiative, albeit with a few reservations.

Polish Ambassador Beata Stoczyńska took issue with the geographic limitations that hinder better access to the landlocked group of countries. Businesspeople from the region, she said, preferred to trade with neighboring countries than with a far-flung partner country like Indonesia.

“For Poland, we find it relatively difficult to access the Indonesian market to export our agricultural products,” Stoczyńska told reporters at the briefing.

The problem is not lost on the Indonesian government.

“In the global context, our trade with the Central European countries account for just 0.1 percent of their trade with the rest of the world,” Hendra said. “The forum will be useful to increase understanding [between the two sides].”

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