"We have agreed the projects to be financed 55 percent by private parties and 45 percent by public-private partnership and using the national budget and loans," chief economic minister Hatta Rajasa said.
Jakarta (ANTARA News) - Indonesia and Japan have agreed on infrastructure development projects worth Rp140 trillion in Jakarta and its vicinity cities under the Metropolitan Priority Areas development program.

"We have agreed the projects to be financed 55 percent by private parties and 45 percent by public-private partnership and using the national budget and loans," chief economic minister Hatta Rajasa said in the 4th Indonesia-Japan Joint Economic Forum here on Tuesday.

The agreement was reached in the Third Steering Committee Meeting on industrial investment under the Metropolitan Priority Areas development program.

Hatta attended the 4th Indonesia-Japan Joint Economic Forum along with industry minister MS Hidayat, tourism and creative economy minister Elka Pangestu and a number of officials from various ministries and the Indonesian Chamber of Commerce and Industry.

Japan in the meeting was represented by foreign minister Koichiro Gemba, economic and trade minister Yukio Edano and a number of state officials and businessmen.

"In the meeting 45 projects have been identified to be finished in 2020," he said.

The projects would be carried out along with the implementation of four MPA goals namely development of better city environment, growth of new sub-corridors and multiple gateway and development of low-carbon energy sources which are expected to be realized in 2030 in the Jakarta Metropolitan areas.

Japanese foreign minister Koichiro Gemba told newsmen Japan has estimated it would extend around Rp125 trillion to finance the projects through Japan`s Official Development Assistance and foreign aid.

"We estimate we will extend around Rp125 trillion or one trillion yen for the next 10 years," he said.

Japan still opens possibilities to add funding in case requested by the Indonesian government, he added.

The meeting has identified minimally five big MPA projects including the development of a mass rapid transport system, a new international-scale sea port in Cilamaya, the extension of a Soekarno-Hatta airport and the development of new research clustes and water waste canal system in Jakarta. (*)

Editor: Heru Purwanto
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