The office was inaugurated by Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono (AHY) here on Monday. The office reflects the government's commitment to forming partnerships with domestic and foreign investors, the minister said.
"This office will ensure that doing business in Indonesia will no longer be hindered by bureaucracy, but instead enabled through partnerships," AHY said.
He confirmed that the IPFO is a follow-up to the International Conference on Infrastructure (ICI) held last June, where the government introduced the Project Catalog 2025, a portfolio of 46 strategic projects across transportation, energy, water, waste management, housing, and smart cities.
The IPFO will serve as an integrated coordination platform under his administration, assisting investors and project developers in navigating procedures, setting priorities, and monitoring progress, in line with President Prabowo Subianto’s directive.
He expressed hope that this initiative would enable the private sector to play a greater role in national development.
The minister cited data from the National Development Planning Agency (Bappenas), which shows that more than US$643.8 billion or Rp10,300 trillion in investment is required for national infrastructure in the 2025–2029 period. However, the private sector currently accounts for just 28 percent of that funding, he noted.
Hence, the IPFO was established to encourage greater participation from private firms. The office will provide a structured list of projects, references, and risk mitigation support.
"Eventually, this will strengthen government–private sector partnerships, ensuring projects are both financially and technically viable before being launched to the market," he said.
Furthermore, the government is adopting innovative funding schemes such as land value capture, asset recycling, and limited concession schemes to promote equitable and inclusive infrastructure development nationwide.
"To all prospective investors: you are entitled not only to a handshake and promises, but to clarity, certainty, and assurance," he remarked.
He assured investors that the IPFO will help them better understand procedures and connect them with relevant stakeholders to pursue the projects.
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Translator: Shofi Ayudiana, Mecca Yumna
Editor: M Razi Rahman
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