The Government of the Republic of Indonesia and the Government of the Kingdom of Thailand, hereinafter referred to as "Contracting Parties",

Desiring to intensify economic cooperation between both countries;

Bearing in mind the friendly and cooperative relations existing between both Contracting Parties;

Intending to create favorable condition for investments by investor of one Contracting Party in the territory of the other Contracting Party;

Recognizing that the encouragement and protection of such investments under this Agreement will be conducive to the stimulation of individual business initiative and will increase prosperity in both countries;