Indonesia has stressed Australia is not a threat and it is grateful for Australia's communication over its massive military modernisation program over the next 20 years.

In an interview ahead of a visit by Defence Minister Marise Payne to Jakarta on Sunday, Indonesia's Director General for Strategic Defence thanked Australia for sharing the contents of its Defence white paper.

Defence Minister Marise Payne says Australia's relationship with Indonesia is vital and a strong and productive bilateral relationship is critical to Australia's national security. Credit:Alex Ellinghausen

"We are not only a neighbour country but we should be brothers," Major-General Yoedhi Swastanto said.

"So for us Australia is not a threat. We don't have big issues. There are some small ones [which] is pretty normal to happen between two neighbour countries."