Vladimir Putin said during talks with Susilo Bambang Yudhoyono that the two countries can and should double bilateral trade to $1 billion.
"Our trade and economic links have reached more than $500 million. That is insufficient, and we can and should raise them to $1 billion," Putin said.
Putin called Indonesia an important partner and spoke in favor of developing bilateral energy cooperation given that Indonesia is also the largest supplier of energy resources in Asia.
"We deem it very important to coordinate our activities on world economic markets, but this work should not harm but boost the development of cooperation and help resolve global energy problems," Putin said.
The two leaders also agreed to develop bilateral cooperation in the sphere of space exploration and technologies.
The sides "will continue to cooperate in implementing the Air Start program and the training program of the first Indonesian astronaut," the presidents said in the statement.
Putin also said the two countries have the preconditions necessary to develop political and military and technical cooperation.
A leading Russian business daily, Kommersant, said Friday that Moscow will give a five-year loan to Indonesia worth $1 billion in two $500-million tranches to purchase Russian armaments and military equipment, which Jakarta will in particular use to buy Su-30MK2 Flanker fighters and two diesel-electric Amur-1650 (Lada-class) submarines.
Following a pause, Moscow-Jakarta military-technical cooperation has recently resumed. In 2003, Indonesia bought two Su-27SK Flanker fighters, two Su-30MK2 Flanker fighters, two Mi-35P Hind attack/transport helicopters, six Mi-172 Hip multi-mission helicopters, armored personnel carriers and Kalashnikov assault rifles, Kommersant said.
"I also hope our countries will cooperate proactively on the international scene," Putin said.
According to the joint statement, Russia and Indonesia will also boost cooperation in aircraft, transportation, telecommunications, emergency relief, counter-terrorism, tourism and other fields.
Putin and Yudhoyono also called for the resumption of six-nation talks on the North Korean nuclear problem, and urged Pyongyang to observe the non-proliferation regime on weapons of mass destruction.
The Indonesian president said he hoped for long-term cooperation with Russia and invited Putin to visit Indonesia.
Russia's emergency ministry recently dispatched a pair of Be-200 amphibious firefighting aircraft to combat raging forest fires in Indonesia.
