The Ministry of Public Works and Housing (PUPR) has invited investments in major public infrastructure projects in Indonesia at Expo 2020 Dubai, the United Arab Emirates. The agency has offered 24 projects worth USD19 billion, both solicited and unsolicited, which includes 10 public-private-partnership (PPP) projects valued at USD9.2 billion. The projects offered so far include nine road infrastructure projects as well as one dam development project.
Two platforms will be available for potential investors to invest in Indonesia’s infrastructure sector. The first platform is a Foreign Construction Services Business Entity and the second is a Foreign-Owned Limited Liability Company.
The Government of Indonesia requires a budget of approximately USD430 billion to develop essential infrastructure in the country, however, the State Budget can only cover 30 per cent of the requirement. For the remaining amount, the government has issued multiple policies, including financing schemes and tax incentives to attract new investments.