Indonesia looks to improve offset implementation

24 February 2020

The Indonesian Ministry of Defence (MoD) has indicated a move to try to strengthen the monitoring and evaluation of defence offset projects carried out by foreign contractors in the country.

The MoD said in a recent statement that the intention was to ensure that local capability was being developed in line with local regulations – known as Law 16 – that mandated foreign companies to source content from local companies.

The MoD said that on 20 February that it had held a "progress meeting" featuring the offset programme linked to the Indonesian Air Force’s procurement of Rheinmetall-made Oerlikon Skyshield air-defence system units.

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