The UK and Indonesia have agreed to a four billion pound ($5.24 billion) maritime deal led by defence firm Babcock to build vessels for the Southeast Asian country, the British Government said on Friday.
"The boats will be built in Indonesia using British shipbuilding expertise, which will support 1,000 jobs at home in the UK," the UK Government said.
"The deal underlines the UK and Indonesia’s shared commitment to stability and prosperity in the Indo-Pacific, upholding freedom of navigation and supporting a rules-based international order."
Set to be announced by deeply unpopular Prime Minister Keir Starmer during a call to President Prabowo Subianto from the G20 Summit on Saturday, the new programme will see the UK and Indonesia jointly develop maritime capability for Indonesia’s navy and more than 1,000 vessels for its fishing fleets to boost seafood consumption and in turn, food security.
The majority of jobs are expected to be secured at Babcock’s Rosyth shipyard, with further roles at the company’s Bristol site and Devonport dockyard.
"The future vessels will be deployed in an economically, environmentally, and socially sustainable way," said Babcock Chief Executive David Lockwood.
"This includes projects on dynamic fish-stock assessment, fisheries management, marine conservation, and community-led coastal resilience initiatives."
(Reporting by Bipasha Dey in Bengaluru; Editing by Chris Reese)
