The stadium where at least 131 football fans died and hundreds were injured is going to be demolished.
The stadium in Malang will be rebuilt according to safety standards set by the sport's governing body, according to the president.
The country needs to transform how it manages the sport.
He made the announcement after he met Infantino.
The under-20 World Cup will be hosted by Indonesia in 2023, and the two countries agreed to form a task force to plan for it.
It was important for fans attending the tournament to be provided with a safe environment, according to the head of the sport's governing body.
He said that this is a football country with over 100 million people who love football. When they see a match, we owe it to them to make sure they are safe.
Fans trying to leave the stadium after the defeat of Arema FC were caught in a crush.
One of the world's worst stadium disasters has resulted in criminal charges being brought against six people.
The maximum sentence for criminal negligent causing death is 5 years.
Police firing tear gas into the stands was ruled to be the cause of the tragic incident.
The report found that the stadium was filled beyond capacity and locked exit doors, as well as a push by league officials to hold the game at night in order to increase television ratings.
The Indonesian Football Association's board was urged to step down by investigators.
The under-20 event in Indonesia will not be stripped from it.
There will be 24 countries competing in Indonesia next summer. No games were due to be hosted at the Kanjuruhan stadium.