Indonesia’s Badan Pengelola Investasi Daya Anagata Nusantara, better known as Danantara Indonesia, the newer of the country’s two sovereign wealth funds, has recently inked a deal with the Russian Direct Investment Fund ( RDIF ), the sovereign wealth fund of Russia, to launch a joint investment vehicle.

The joint venture ( JV ), which will be known as the Russia-Indonesia Investment Platform ( RIDNIP ), will be infused with €2 billion ( US$2.3 billion ) in capital. RIDNIP is expected to implement investments across Indonesia and Russia.

The development, which was announced on the sidelines of the 2025 St Petersburg International Economic Forum last week, is “pivotal” in Danantara’s efforts to mobilize capital for the country’s long-term national priorities, says Rosan Perkasa Roeslani, the Indonesian sovereign wealth fund’s CEO.

“Through the RIDNIP,” Rosan notes, “we aim to channel cross-border investment into strategic sectors that enhance economic resilience, drive industrial transformation and unlock sustainable, long-term growth across both our economies.”

The JV with the RDIF, he adds, is a platform for “enduring value creation that aligns with the vision of cooperation, diversification and mutual development”.

Meanwhile, Kirill Dmitriev, RDIF’s CEO states, that Russia and Indonesia are bound by long-standing and close ties, and that the agreement marks a pivotal step toward expanding mutual investment.

“It highlights a shared commitment to technological advancement, fostering innovation-driven growth and enhancing competitiveness of the two economies on the global stage,” Dmitriev shares, adding that the platform has a significant potential for joint projects across sectors like energy, infrastructure and agriculture.

The launch of RIDNIP, coupled with Indonesian President Prabowo Subianto’s decision to skip the G7 meeting in Canada, and instead go to Russia to meet with Russian president Vladimir Putin, appears to be a signal that the Southeast Asian country is pulling away from traditional Western trading partners.

Prawobo, who was present at the signing of the RIDNIP, has been heavily promoting Danantara in his recent overseas trips, including during a recent trip to Doha, where he was present at the signing of a US$4 billion JV fund with the Qatar Investment Authority.

Indonesia is among the group of Southeast Asian countries hardest hit by US President Donald Trump’s sweeping tariffs. The region’s largest economy was slapped with a 32% tariff rate, though implementation has been paused until at least the second week of July. It remains to be seen whether Indonesia will be able to bargain the US tariff rate down.