India and Indonesia today signed an agreement for avoidance of double taxation and prevention of fiscal evasion with respect to taxes on income.

The agreement was signed by the visiting Indonesian Foreign Affairs Minister Marty Natalegawa and his Indian Counterpart S.M Krishna at the Hyderabad house in New Delhi this afternoon. Both countries also signed the agreed minutes of the 4th meeting of the Joint commission talks held between the two countries this morning.

Addressing the Joint Press conference along with his visiting Indonesian counterpart, External Affairs Minister S.M Krishna said, the talks were extremely fruitful and reviewed the entire gamut of India-Indonesia bilateral relationship including trade and commerce.

He said, both countries enjoy an excellent relationship based on the solid foundation of historical and cultural ties. Mr. Krishna said, both countries are also hopeful of achieving the trade target of 25 billion US Dollars by 2015.

Indonesian Foreign Affairs Minister Marty Natalegawa said, his country enjoys a robust, strong and friendly relationship with India. He said, the two countries have agreed to further strenthening of the bilateral relationship in to a strategic partnership. Mr. Marty Natalegawa said, the India and Indonesia are partners in the Non Aligned Movement and the ASEAN grouping.

(S/B Marty Natalegawa )

In reply to a question, Mr. Marty Natalegawa said, discussion are on to evolve a Code of Conduct for the South China Sea. He said, diffences on the South China sea is a fact, and a Code of Conduct was necessary to ensure the dynamic developments in the region are materialised in a manner conducive to the stability and peace in the region.

External Affairs Minister S.M Krisna said, India had made its stand clear on the issue and favours resolution of all differences for the prosperity of the region and in accordance with international law 

External Affairs Minister S.M Krishna also said, he has conveyed to Indonesian Foreign Minister Dr. Marty that India looks forward to the visit of his Excellency Mr. Yudhoyono, President of Indonesia in December this year for the India-ASEAN commemorative summit.

Indonesian Foreign Minister Dr. Marty M. Natalegawa is visiting India for the fourth round of Joint Commission Meeting at the Foreign Minister-level on Friday. An External Affairs Ministry release says that both sides will take stock of the bilateral relationship and identify areas for future cooperation between the two countries. Foreign Minister Natalegawa will also address the Indian Council of World Affairs in New Delhi on Indonesian views of the world today on the same day.

India and Indonesia enjoy an excellent relationship based on a solid foundation of age-old cultural and commercial linkages.

The relationship was further strengthened following the signing of strategic partnership in 2005.

AIR correspondent reports that Indonesia is an important member of ASEAN and a partner in India's Look East Policy. The bilateral trade between the two countries has touched 20 billion dollars. India and Indonesia enjoy close cooperation in trade and investment, energy, agriculture, science and technology, space, coal, oil and gas, defence and other areas.

A moderate earthquake measuring 5.8 on the Richter Scale rocked Indonesia's Sulawesi island today. The US Geological Survey said the quake struck at 10:17 am (local time) at a depth of nearly 10 kilometres, 169 kilometres northwest of Kendari. Indonesia's Geophysics and Meteorology Agency said there are no immediate reports of any damage or casualties. Two strong earthquakes struck off Indonesia's Sumatra island last week, triggering an Indian Ocean-wide tsunami alert and sending terrified people fleeing from the coast.