Indonesia signs $3.1bn investment agreements for projects

Indonesian companies inked agreements to develop 47tn rupiah ($3.1bn) of projects from renewable energy to plantations and toll roads on the sidelines of the IMF-World Bank Group annual meeting in Bali yesterday.

The project financing agreements are part of the government’s initiative to find money for infrastructure projects outside of the state budget, Ekoputro Adijayanto, chief of the Indonesian Planning Ministry’s Center for Private Investment, known as PINA, said in a statement yesterday. Building toll-roads, ports, airports and dams has been a top priority for President Joko Widodo, who has set aside a record amount for infrastructure in the 2019 budget.

Building toll-roads, ports, airports and dams has been a top priority for President Joko Widodo, who has set aside a record amount for infrastructure in the 2019 budget

The main projects signed yesterday are PT Citra Nusaphala Persada signed an agreement with PT Girder Indonesia and PT Wijaya Karya to construct an additional 9.53-kilometre road for the Cawang-Tanjung Priok-Ancol Timur-Jembatan Tiga Pluit toll section in Jakarta.

PT Citra Marga Lintas Jabar entered into agreement with Girder and Wijaya Karya to construct additional 14.3-km road for the Soreang-Pasir Koja section in West Java. Investments for both toll works are estimated at 22tn rupiah. PINA signs memorandum of understanding with a consortium PT Daya Mulia Turangga, PT Adhi Karya and PT GAMA Group to finance construction of 91.93-km long toll road for the Solo-Yogakarya-New Yogyakarta International Airport section, investment is seen at 22.5tn rupiah.