Indonesia seeks private investment to expand toll road infrastructure

The Indonesian Toll Road Association (ATI) is advocating for increased private sector involvement in toll road construction to reduce reliance on the state budget (APBN). During a focus group discussion in Jakarta, stakeholders emphasized that regulatory certainty and a healthy investment climate are essential to attracting long-term private financing.

Public Works Minister Dody Hanggodo stressed the necessity of collaboration between the government, toll road business entities, academia, and the business community to build a sustainable infrastructure ecosystem. He noted that such efforts aim to connect production with markets and investment with employment.

Economic experts highlighted the importance of optimizing limited fiscal space. Former Finance Minister Bambang Brodjonegoro noted that private involvement is increasingly vital due to massive development needs, while former Finance Minister Chatib Basri suggested that deregulation, easier licensing, and the fulfillment of government contract commitments are key to boosting investor interest.