Japan interested in IKN development: JICA's financing portfolio in RI reaches Rp63.15tn
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Investor Daily - Jepang minati pembangunan IKN portofolio pembiayaan JICA di RI capai Rp63,15 T
15 February 2023
Jakarta - The Financing portfolio of Japan International Cooperation Agency (JICA) in Indonesia currently reaches 551 billion Japanese yen or Rp63.15 trillion.
“JICA’s financing in Indonesia has a significant portfolio in the infrastructure sector,” Finance Minister Sri Mulyani revealed during IMF-JICA Joint Conference that was broadcasted online from Jakarta on Tuesday (14/2/2023).
She mentioned that the financing portfolio included the mass rapid transit (MRT) project of the Transportation Industry worth 227 billion yen or Rp26.02 trillion and the public housing project of Public Works and Housing (PUPR) Ministry worth 204 billion yen or Rp23.38 trillion.
Then, there are projects of the Education, Culture, Research, and Technology Ministry worth 8 billion yen or Rp916.89 billion. PT Pembangkit Listrik Negara (PLN) and PT Pertamina have received a loan for three projects worth 55 billion yen or Rp6.3 trillion. The National Development Planning Ministry/Bappenas has received 7 billion yen or Rp802.28 billion.
Sri Mulyani explained that JICA provided financing and attention to the MRT project so that the public transportation could provide a more complete service to facilitate the mobility of the people, especially in Jakarta and its surroundings. JICA is also interested in human resource development programs in Indonesia, so they provided financing to the Education, Culture, Research, and Technology Ministry.
Besides that, this agency that is based in Tokyo gave attention to flood control projects to prevent flood by building various constructions underground. “This step is taken due to the increase in natural disasters all over the world due to climate change, including in Indonesia,” Sri Mulyani explained as quoted by Antara.
Meanwhile, Sri Mulyani mentioned that Japan was interested in the development of New Capital City (IKN) Nusantara in Indonesia, especially in its scenario and advancement. “Especially with the policy that supports the construction of IKN in Kalimantan as well as the role of the international world,” she said.
