JAKARTA - PT Indonesia Infrastructure Finance (IIF) has disbursed IDR 42.5 trillion in financing for strategic infrastructure projects, strengthening its role as a partner for the government and private sector in supporting sustainable development and accelerating national economic growth.
IIF Chief Investment Officer M Ramadhan Harahap (Idhan) stated that since its establishment in 2010, the company has been a strategic partner for the government and private sector in addressing the challenges of infrastructure project financing.
"By the end of 2024, IIF has contributed approximately IDR 42.5 trillion in financing for more than 150 strategic infrastructure projects," Idhan said, as quoted by Antara.
He stated that this support covers the transportation, energy, telecommunications, clean water, and other priority sectors.
Some of the latest key achievements include renewable energy projects with an installed capacity of nearly 700 MWh per year, powering more than 693,000 households and potentially avoiding 4.81 million tons of CO₂ greenhouse gas emissions per year.
Then there are seven drinking water projects providing access to safe, potable water for more than 6.7 million people.
Then there's the construction of medical facilities with a capacity of over 1,000 beds, serving hundreds of thousands of patients annually; and the construction of strategic toll roads stretching hundreds of kilometers.
According to him, the momentum of the 80th anniversary of the Republic of Indonesia's Independence is a time to reflect on the long journey of the country's development. Infrastructure has transformed Indonesia, from the limitations of the early days of independence to the modern connectivity of today.
He said that the 80th Anniversary of the Republic of Indonesia serves as a point of reflection and a stepping stone towards a Golden Indonesia 2045. With a financing capacity that remains steadfast in the principles of Environmental, Social, and Governance (ESG), IIF will continue to play a strategic role as a partner for the government and the private sector in developing sustainable Indonesian infrastructure.
He added that from the Proclamation of Independence in 1945 to 2025, infrastructure has been the backbone of economic growth, equitable development, and national integration.
The last eight decades have shown extraordinary transformation. In the early days of independence, infrastructure development focused on highways, bridges, dams, and irrigation to support food security.
The New Order era marked the acceleration of national road construction, power plants, and the first toll road, the Jagorawi, which was inaugurated in 1978.
The Reformation era then opened a new chapter with private sector involvement through the Public-Private Partnership (PPP) scheme, in line with the increasing need for investment. Over the past decade, infrastructure has become a national priority.
Over the past 10 years, the government has successfully completed 2,103 km of toll roads, 40 dams, 27 new airports, and other major projects such as railways and the Indonesian Capital City (IKN).
Furthermore, inter-regional connectivity has been strengthened with the construction of the Trans-Papua, Trans-Kalimantan, and Trans-Sumatra highways, designed to connect previously isolated regions.
Infrastructure development has provided tangible benefits to the economy and public welfare, with the construction sector's contribution reaching fourth place in Indonesia's Gross Domestic Product (GDP), at 10.43 percent in the fourth quarter of 2024.
The national electrification ratio has also increased significantly, reaching 99.83 percent by the end of 2024, ensuring that nearly all Indonesian households enjoy access to electricity, promoting equitable development and prosperity.
BPS and Bappenas noted that Indonesia's achievement in the SDGs indicators was 62.5 percent, far above the global average, underscoring the important role of the private sector and infrastructure financing institutions in supporting sustainable development.
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