Indonesia’s Public Works Ministry has projected an IDR753 trillion (USD46.14 billion) funding shortfall to meet the country’s infrastructure targets outlined in the 2025–2029 National Medium-Term Development Plan (RPJMN). Of the total estimated requirement of IDR1,905.3 trillion, the national and regional budgets combined can only cover around 60.5 percent. The remaining 39.5 percent is expected to be met through alternative financing strategies.
The ministry plans to focus spending on water resources, roads, bridges, and housing, with specific goals including dam rehabilitation, improved road conditions, and expanded water and sanitation infrastructure. To bridge the funding gap, the government is promoting public-private partnerships, blended finance, and asset securitisation. Officials emphasised the need for collaboration across sectors, aiming to attract more private and foreign investment to support inclusive and sustainable infrastructure development.