News - 09 October 2018

Govt Offers Infrastructure Project Investment in IMF-WB Meeting

Tempo/Tony Hartawan

TEMPO.CO, Jakarta - The Indonesian government has invited private sectors to invest in the infrastructure development it has managed since the past five years. The call was delivered during the 2018 Indonesia Infrastructure Forum, the sideline event of IMF-WB Meeting, in Conrad Hotel, Nusa Dua, Bali, Tuesday, October 9.

Minister of State Owned Enterprises (SOE), Rini Soemarno, said Indonesian economy was one of the best especially amongst the emerging market countries, proved by the economic growth in 5 percent, low inflation rate, and low rate of unemployment as well as had a good level of ease of doing business.

“We have funding mix scheme for infrastructure development project. Thus, this is the best time [for investment]. We welcome you all to join in our projects,” said Rini in her speech today.

Rini said that despite the economic indicator of Indonesia showed positive trends it still faced several issues. For example, the investment rate that only grew around 3.4 percent which was lower than that of three years earlier.

The minister further called for investors to learn potential investment in SOEs’ 80 infrastructure projects. “Almost 80 projects with a total value at US$42 billion,” she mentioned.

Rini explained the right funding scheme was required to meet the goals of infrastructure development, let alone SOEs had a limited capacity to apply for a loan during this expansion period.

Meanwhile, Finance Minister Sri Mulyani added the government needed broader connectivity of inter-regions in a bid to ease the access in distributing logistics, boost economic growth and productivity.

To support private sectors investment in Indonesia, Sri Mulyani then planned to design many instruments of related policy as to specifically encourage and facilitate private sectors participated in the funding of infrastructure project.

“We will continuously draft policies to facilitate private sectors financing the development project,” said Sri Mulyani in the same occasion.


Source: TEMPO.CO

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