E&OE..................
Mr President, Madame Wahid, Leader of the Opposition, my parliamentary colleagues, your excellencies, ladies and gentlemen.
Mr President, I've already had the pleasure of meeting you on three occasions at international events - in Tokyo, New York and in Brunei.
But now I am delighted indeed to welcome you and your wife and your party on your first visit to Australia as the President of the Republic of Indonesia.
Your visit is historic. It is the first by an Indonesian President to Australia's national capital since 1972 and the first by an Indonesian President to any part of Australia since 1975, when President Suharto visited Townsville.
My own first major overseas visit as Prime Minister was to Indonesia. That decision reflected the importance that I attached to our relations with your country. My belief in the fundamental value of that relationship has remained as firm ever since.
You and Madame Wahid are, of course, no strangers to Australia and I hope this is an opportunity to renew old friendships, make some new ones, and learn a little more of our nation and its society.
Your country, Mr President, has an important place in the region and in the world. I take advantage of your presence here today to remind my fellow Australians of the scale and the size of our northern neighbour: with over 210 million people, Indonesia is the world's fourth most populous country and the world's largest Muslim community. It is a huge nation in the process of embracing democracy.
Traditionally, Indonesia has played a major leadership role in Southeast Asia and been an important voice in the whole of Asia.
The stability and wellbeing of Indonesia is vital for the security of our region. What happens in Indonesia touches upon all its neighbours and beyond and we recognise that a united and prosperous Indonesia is in the best interests, not only of your own citizens, but also those of Australia and the entire region.
For that reason, Australia has, and will continue to strongly support the territorial integrity of Indonesia.
We applaud your commitment to peaceful and lasting solutions through the development of special autonomy in Aceh and Irian Jaya, which are now affected by tension and violence.
We, like other friends of Indonesia, urge you and your government to seize the historic opportunity offered by autonomy provisions to resolve these problems.
Indonesia is engaged in a transition to a modern, inclusive, decentralised democracy after thirty years of autocratic and centralised rule. Given the size and importance of your country, Mr President, this is one of the most momentous changes in the post-Cold War period.
No-one could expect this to be an easy transition and you have our understanding of the challenges that you and your fellow countrymen and women face.
Your visit Mr President is further evidence of the determination of our two nations to move on from the difficulties of the recent past.
I have said on many occasions that no two countries could have experienced the events in East Timor that we did without strains developing in their political relationship. We would therefore be less than honest with each other if we did not acknowledge the sharp political and diplomatic differences those events produced.
But none of us seek to dwell upon those differences, or maintain them as a continuing source of difficulty between our two peoples.
Importantly, the tensions of those events did not greatly affect, and in many cases didn't affect at all, the underlying foundations on which our long term future will rest - in trade, investment, education, development assistance, law enforcement and many other areas.
Whatever has occurred in the past, Australia and Indonesia now have a shared interest in working together to create secure and stable conditions for the future independence and development of East Timor.
You, Mr President, have shown statesmanship and vision in calling for the normalisation of Indonesia's relations with East Timor.
The Australian government looks forward to an active and positive role by the Indonesian Government in maintaining security along its border with East Timor.
We understand that the resettlement of those who fled East Timor is vital for the security of that border, and we are prepared to help with that resettlement.
While there is still work for us to do together in relation to East Timor, I am confident that we can overcome the difficulties of yesterday, and move forward with a renewed sense of mutual understanding and respect.
In building such a future, you have our commitment to help in any way that is appropriate. Australia showed during the Asian financial crisis that it was ready to help Indonesia and our other friends in the region in their time of need.
My government committed more than US$1 billion to the IMF's rescue package for Indonesia. We pushed hard for IMF terms that took due account of the many difficulties that Indonesia faced in its momentous transition.
It is also in support of this transition that we have shaped our substantial aid programme.
I can assure you, Mr President, that Australia will continue to encourage the international financial institutions and others to tailor their advice and terms to Indonesia's needs and abilities.
At the same time, economic reform and prudent, predictable economic management are crucial for Indonesia's national cohesion and prosperity.
Millions of Indonesians have been lifted out of poverty in the last three decades. The financial crisis reversed some of these gains. But the ground lost can be made up with stable policy-making and a clear determination to implement economic reform over time.
A reform of global trade rules through a new round of multilateral trade negotiations will open markets for Indonesian agricultural and textile products.
I look forward to working closely with your country at this year's APEC leaders' meeting to support a World Trade Organisation round and to build more open trade and investment flows in the Asian Pacific region.
Mr President, the people to people links between our two societies are as strong as ever.
The 18,000 Indonesians studying in Australia represent the largest number of foreign students in our country, and are probably the largest number of Indonesians studying overseas.
In their understanding of Australia and her people, a priceless investment is being made - one that will yield significant returns for both our nations in the years to come.
Our economic ties are strong. About 400 Australian companies have a presence in Indonesia. Two-way trade is now worth about $7 billion a year. Indonesia is Australia's 10th largest merchandise market, and Australia is the 10th largest investor in Indonesia. The visit of the Trade Minister Mark Vaile to Indonesia in February with an investment mission saw agreement on something in the order of $500 million worth of business.
I was also particularly pleased with the solid outcomes from the Ministerial Forum in December last year, which produced agreements on transport, education and health.
And I would like at this stage to particularly to thank the Indonesian government for its help in our fight against the smuggling of people to Australia. I look forward to further cooperation between us in this area.
I also welcome the signing today of a Memorandum of Understanding on tourism which provides a framework for public and private sector cooperation in this important area.
Mr President, the first half century of relations between Indonesia and Australia began with strong Australian support for the independence of your country. The second has begun with Australia's unqualified support for Indonesia's great journey towards a modern democracy.
Mr President, your presence here makes this an historic occasion and its significance should not be lost.
For although our nations are inextricably linked by the accident of geography, our shared place in the world in the years to come will have little to do with marks on the map. Instead, mutual respect and common purpose must determine our borders.
The distance between us should not be measured by the width of the Timor or Arafura Seas but by our willingness to work together to promote greater understanding and goodwill.
On behalf of the government and all Australians, I thank you for the resolve you have personally shown in coming to our nation.
I also wish to invite you and the government of Indonesia to join us in a renewed effort to forge ever closer ties between our two peoples and our two economies. There is much to be gained should we succeed. But there is much to lose should we fail.
Mr President, you and your wife and your party are very welcome indeed in Australia.
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