“the bilateral relationship with Indonesia is important to both countries and has never been stronger,” Turnbull said in the statement.

He said Indonesia is one of Australia’s most important partners in counterterrorism efforts, adding that practical cooperation between Australia and Indonesia will ensure regional security for citizens of both countries.

Turnbull also said that he hopes to expand the relationship by identifying economic opportunities for both countries.

The discussions will also focus on cyber security, investments and trade prospects, including finalizing the Indonesia-Australia Comprehensive Economic Partnership Agreement by the end of the year.

“The deal will be beneficial to citizens of both Indonesia and Australia, create job opportunities, promote businesses and push investments,” Turnbull said.

This is Jokowi’s first official state visit to Australia since being elected in 2014.

Jokowi was originally scheduled to make his visit to Australia in November, but the trip was cancelled due to mass demonstrations in Jakarta.

"This visit is very important for us because it shows how close we are as neighbors," Ministry of Foreign Affairs spokesman Arrmanatha Nasir said on Thursday.

Separately, a report from The Australian newspaper said Jokowi will discuss the prospect of joint patrols with Australia in the South China Sea when he meets Turnbull.

Jokowi told The Australian newspaper he would like to see joint patrols with Australia, but only if it did not further inflame tensions with China.

"If there is no tension I think it's very important to have the patrols together. We will discuss this with Prime Minister Turnbull," Jokowi said.

Indonesia has traditionally taken a neutral position on the South China Sea, acting as a buffer between China and fellow members of the Association of Southeast Asian Nations that have the most at stake, the Philippines and Vietnam.

But after China angered Indonesia by saying the two countries had "overlapping claims" to waters close to Indonesia's Natuna Islands, Jakarta staged large-scale exercise on the edge of South China Sea in October.

China claims almost the entire South China Sea, through which about $5 trillion worth of trade passes each year. Brunei, Malaysia, the Philippines, Taiwan and Vietnam also have claims to parts of the sea.

Australia — which says it doesn't take any side on South China Sea disputes but has supported United States-led freedom of navigation activities in the region — has been seeking to repair ties with Indonesia after their most recent spat.

With additional reporting from Reuters