They (Malaysian investors) are expected to partake in transportation projects in Indonesia, including those under the Public-Private Partnership scheme in the Transportation MinistryKuala Lumpur (ANTARA) - The Indonesian Embassy in Kuala Lumpur capitalized on the opportunity presented by the Transportation Investment Forum (TIF) 2019 held in Kuala Lumpur, Malaysia, on Tuesday to promote investment in the country's infrastructure development.
Transportation Attaché Capt. Antoni Ariid Priadi explained that the event was focused on promoting the country's infrastructure to potential investors from Malaysia.
"They (Malaysian investors) are expected to partake in transportation projects in Indonesia, including those under the Public-Private Partnership scheme in the Transportation Ministry," Priadi stated.
Indonesian Ambassador to Malaysia Rusdi Kirana remarked at the opening of the forum that Malaysian businessmen had the opportunity to invest in some transportation projects.
The ambassador explained that the investment will boost bilateral business relations.
Kirana explained that infrastructure is the key for driving development in regions throughout Indonesia. In the past four years, Indonesia has expedited the development of infrastructure that connected regions via land, air, and sea.
By 2019, a total of 1,794 kilometers of toll road were built, including the Trans Java toll road that connected Merak Port in Banten and Surabaya in East Java. The development of the toll road has cut short the travel time, from 14 hours to nine hours.
On Sumatra Island, development of the Trans Sumatra Toll Road connecting Aceh and Bandar Lampung is expected to cut short the travel time, from 12 hours to only six.
Furthermore, the government has constructed 27 commercial ports since 2015 to boost sea connectivity and seven new airports during the period from 2015 to 2017.
Head of Planning Bureau of the Transportation Ministry Robby Kurniawan affirmed that the ministry has 40 projects under the Public-Private Partnership (PPP) scheme that encompass development projects of four airports, 15 ports, eight roads, and 13 railway lines.
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Infrastructure will be the key priority in development in the next five years, he stated, adding that the projects will include construction of three thousand kilometers (km) of new roads and 2,500 km of toll road at a total cost of Rp2,000 trillion, or some US$142 billion.
Of the total funding, only some Rp600 trillion ($42.6 billion) will be apportioned from the state budget, while the rest Rp1,400 trillion ($99.6 billion) will be offered to private sectors.
Speakers at the forum comprise Director of Infrastructure Planning of the Investment Coordinating Board (BKPM) Heldy Satrya Putera, Deputy Director of PPP scheme of the National Development Planning Agency (Bappenas) Dadang Jusron, and Vice President of state-owned infrastructure guarantee firm PT Penjaminan Infrastruktur Indonesia (PT PII) Rizka Anandita Ramses.
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Some Malaysian construction firms that attended the forum comprised Chec Constuction Sdn Bhd, Construction Industry Development Board Malaysia, HSS Enginering Sdn Bhd, MMC Group Corporation Berhad, Prasarana Berhad, MRT Corporation, and Kumpulan Wang Amanah Pensiun (KWAP).
Other forum participants constituted the Malaysia Airports Holding Berhad (MAHB), Maybank Investment Berhad, Sunway Construction Temokin Builder Sdn Bhd, Sapura Holding Berhad, Mudajaya Corporation Berhad, Muhibbah Engineering Berhad, Hyundai Masboh Sdn Bhd, Pembenaan YTL Sdn Bhd, Perdana Builder Berhad, Lfe Engineering Sdn Bhd. and UEM Sunrise Berhad.
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EDITED BY INE
Translator: Agus Setiawan, Sri Haryati
Editor: Fardah Assegaf
Copyright © ANTARA 2019
