Key facts
- Indonesia and Singapore agreed to form a joint task force on corporate accountability for forest fires.
- Jakarta threatened energy export cuts to Singapore.
- Disputes also involved MSCI's potential downgrade for Indonesia.
The foreign ministers of Indonesia and Singapore met on October 27, 2026, to address escalating diplomatic tensions. They agreed to establish a joint task force aimed at corporate accountability for the forest fires that have caused severe transboundary haze. Jakarta has also intensified threats to reduce energy exports to Singapore, a move linked to disputes over the haze and MSCI's consideration of a potential downgrade for Indonesia's credit rating. Analysts have warned of significant risks to regional energy security and economic stability.