Widodo, who was re-elected earlier this year, told South Korean news agency Yonhap he and the people of Indonesia would welcome a third U.S.-North Korea summit, whether it is held in the capital Jakarta or Bali, a top travel destination.
Last year Indonesia hosted the Jakarta-Palembang Asian Games; Widodo said it was great to see the Koreas enter the stadium together during the opening ceremony.
The Indonesian leader also said talks must continue for the sake of peace on the Korean Peninsula, according to the report.
Indonesia is in a position to mediate between North Korea and other countries. Jakarta has maintained diplomatic ties with Seoul and Pyongyang.
Indonesia may have stronger economic ties with South Korea, however.
Widodo, who is expected to visit South Korea during the ASEAN-Korea Special Summit, could agree to sign a contract with South Korean company Hyundai Motors. The firm is looking to build a hybrid and electric car plant near Jakarta, according to Yonhap.
Widodo has also reconciled with a political rival, former army Gen. Prabowo Subianto, who ran against him in the most recent election.
The Indonesian leader appointed Subianto to head the country's defense ministry -- a move that has allowed the politicians to put aside differences.
North Korea has not signaled any commitments to a summit with the United States.
On Friday the Russian foreign ministry said in an official statement North Korea's first vice foreign minister Choe Sun Hui met with Russian counterpart Igor Morgulov to discuss the situation on the Korean Peninsula.
North Korea has previously said the United States must put aside its "hostile policy" for progress in talks. Pyongyang has yet to commit to full denuclearization, a U.S. requirement.