Commuters wait to get on trains in Jakarta, Indonesia, on August 18 (Photo: AFP/VNA) Jakarta (VNA) – An Indonesian minister has affirmedthat the country’s government is strongly committed to developing landtransportation infrastructure nationwide to support economic growth.
At a webinar on August 19, Coordinating Ministerof Maritime Affairs and Investment Luhut Binsar Pandjaitan cited results of astudy as showing that one-percent hike in the construction of roads will raiseeconomic growth by 8.8 percent, the Antara news agency reported.
He noted the government has deemed it necessaryto develop road infrastructure through public and private investment under agovernment and business entity partnership scheme.
The minister also believed that Indonesia mightbe able to save nearly 100 trillion Rp (6.7 billion USD) annually by developinga train-based mass transportation system. Of the figure, 40 trillion Rp will besaved from the operating costs of motor vehicles and 60 trillion Rp from the traveltime.
The value is equivalent to 4 percent of theregional gross domestic product of Jabodetabek, which is the Greater Jakartaareas covering Jakarta, Bogor, Depok, Tangerang, and Bekasi, according to theofficial.
The use of the mass transportation means willalso result in a significant reduction in traffic congestion, Pandjaitan said.
Road connectivity, including through toll roads,serves as an essential component to drive economic transformation to themanufacturing and service sectors. Therefore, Indonesia will boost developing aland transportation system across the country, from toll roads in Sulawesi andBali to road lines in Kalimantan, Sulawesi and other localities, he added./.
VNA
