WHAT’S HOLDING IT UP?
In spite of the official rhetoric, the construction of infrastructure projects in Indonesia is not moving as fast as it could or should. Indonesia is making some progress, but we are also racing against time. There is already a huge deficit of infrastructure facilities — power plants, water treatment plants, roads, bridges, airports and seaports, to name but a few.
Failure to catch up will create bottlenecks that will put the brakes on economic development and growth, if it hasn’t already done so. The 7 percent yearly economic growth rate President Joko “Jokowi” Widodo has targeted during his 2014-2019 term in office hinges on his government’s ability to build these infrastructure facilities fast enough.
The need is clearly there, pressing in fact. Political will on the part of the government is never lacking. President Jokowi has been sinking so much money into infrastructure projects, yet progress has been painfully slow.
Government money alone is not enough to meet the big challenge. International development agencies have also been brought in to help. The private sector, both local and foreign, is not coming in as rapidly as needed. It obviously has its reasons.
This special edition of Infrastructure Outlook looks at the challenges and problems of the government’s infrastructure projects, and along the way proposes some solutions. We have assembled articles written by experts, consultants and players in the infrastructure industry.
We hope the report sheds light on ways to speed up construction programs.
Endy M Bayuni EDITOR-IN-CHIEF