It was only a few months ago that Australia looked set to end the year with one of its most important bilateral relationships at a historic high, with an Indonesia-Australia free trade deal on the cusp of being signed and an agreement to forge a strategic partnership sealed.
Instead, the relationship is under fresh strain, the trade deal is on ice and Canberra is facing the prospect of mass protests outside its Jakarta embassy — even a boycott of Australian products — should it forge ahead with a plan to leave its Israel embassy in Tel Aviv but formally recognise Jerusalem as Israel’s legitimate capital.
It is unclear whether that recognition will be restricted to West Jerusalem or include Jerusalem more broadly — a move that would disregard the UN’s longstanding position that East Jerusalem remains an occupied settlement since Israel’s 1967 annexation and that Jerusalem’s status will remain disputed until resolved by negotiations between Israel and the Palestinians.
But any hopes that a compromise over the issue — a sensitive topic throughout the Muslim world — may ease tensions with Jakarta were dashed this week when Islamist groups reacted furiously to reports of the face-saving solution proposed by a high-level government review panel.
With Canberra expected to announce its decision within days, some of Indonesia’s most hardline Islamic groups say they will be ready.
Read the article by Amanda Hodge and Nivell Rayda in The Australian.