Indonesia offers $28b worth of projects to China at Belt & Road Forum

Photo by The Insider Stories

 JAKARTA (TheInsiderStories) – The Indonesian government has proposed US$28 billion worth of infrastructure projects during to China during the recent Belt & Road Forum (BRF), National Development Planning Minister and Head of National Development Planning Agency (Bappenas) Bambang PS Brodjonegoro said.

The BRF held last week was also attended by President Joko Widodo as well as other Head of States. The BRF was launched on Nov 30, 2016 at the National Press Club in Washington DC.

The BRF initiative aims to connect Asia and Europe in a vast network of roads, railways, pipelines, airports, sea ports, transnational electrical grids and fiber optic lines of communication through the creation of an economic land belt traversing Central Asia and the Middle East as well as a maritime road that links China with the ports of the Indian Ocean, East Africa and Mediterranean.

Observers say the BRF connects with the Joko Widodo government to develop a sea high way across the archipelago. The goal of BRF is to bolster trade by overcoming one of the biggest impediments to global growth, chronic lack of infrastructure.

He said the Indonesian government has proposed projects close to the South China Sea such as North Sumatera, North Sulawesi and North Kalimantan in areas of tourism, industrial zone and infrastructure projects such as toll roads, ports and airports to support economic development in those areas.

“We have proposed list of projects. The form of cooperation will be B to B. We have proposed investment of US$28 billion, in which US$21 billion for projects in Kuala Tanjung, Sei Manke, LRT as well as other projects in North Sumatera,” Minister Bambang said.

The remaining investments will be for projects in Bitung and Pal Beach, Likupang, North Sulawesi. The other potential projects are plantation, mini LNG terminal, coal-fired power plants and smelter projects.

Indonesia expects China state-owned companies to take part in those projects. “We hope investment commitment from China this year,” he said.

Invest Manado Conference

Meanwhile, the National Investment Coordinating Board (BKPM) and the Tourism Ministry will hold Manado International Conference in Tourism (Invest Manado) on May 25. Pricewaterhouse Coopers and Broadway Malyan will partner with Indonesian Research Development International will deliver presentation on potentiality of Manado and the surrounding area as leading investment and tourism destination. (*)