The Indonesian government will offer 30 sizeable infrastructure projects, totalling 380 trillion Rp (32.74 billion USD), to investors starting next year under a public-private partnership (PPP) scheme.
Indonesian Coordinating Economic Minister Hatta Rajasa has said the projects focus on dams, airports, railways, ports, roads and power generators.
They are featured in Indonesia’s Masterplan for the Acceleration and Expansion of Indonesian Economic Development (MP3EI), which is aimed at boosting its gross domestic product (GDP) to around 4.5 trillion USD by 2025 from the current level of 3 trillion USD, enabling it to be one of the world’s top 10 economies.
The government will issue new regulations in preparation for priority projects, especially those under the PPP model in order to make them more transparent and accountable by adopting international best practice, Hatta said.
For each of the projects, preparations will include thorough feasibility studies carried out before a search for investors, he added.
In addition, the government will provide necessary incentives, including financial leverage through a viability gap fund, on a case-by-case basis, to attract investors, according to Hatta.
Official statistics say the total value of realised MP3EI projects has reached 737.9 trillion Rp since 2011, when the MP3EI was launched. Around 45.4 percent of that figure, or 355 trillion Rp, was derived from investments in infrastructure projects.
The Indonesian government claims progress in infrastructure development has helped improve Indonesia’s competitiveness ranking by 12 places to 38th in the Global Competitiveness Index (GCI) published by the World Economic Forum in September.-VNA
Indonesian Coordinating Economic Minister Hatta Rajasa has said the projects focus on dams, airports, railways, ports, roads and power generators.
They are featured in Indonesia’s Masterplan for the Acceleration and Expansion of Indonesian Economic Development (MP3EI), which is aimed at boosting its gross domestic product (GDP) to around 4.5 trillion USD by 2025 from the current level of 3 trillion USD, enabling it to be one of the world’s top 10 economies.
The government will issue new regulations in preparation for priority projects, especially those under the PPP model in order to make them more transparent and accountable by adopting international best practice, Hatta said.
For each of the projects, preparations will include thorough feasibility studies carried out before a search for investors, he added.
In addition, the government will provide necessary incentives, including financial leverage through a viability gap fund, on a case-by-case basis, to attract investors, according to Hatta.
Official statistics say the total value of realised MP3EI projects has reached 737.9 trillion Rp since 2011, when the MP3EI was launched. Around 45.4 percent of that figure, or 355 trillion Rp, was derived from investments in infrastructure projects.
The Indonesian government claims progress in infrastructure development has helped improve Indonesia’s competitiveness ranking by 12 places to 38th in the Global Competitiveness Index (GCI) published by the World Economic Forum in September.-VNA
