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KADIN Indonesia | Investor Funds Are Needed for Highway Construction in North Sumatra

”The state budget funds for highway construction are limited, so investors’ involvement is necessary,” said Hermanto Dardak, the Deputy Minister of Public Works on 21st January 2013.

On the other hand, the Chamber of Commerce and Industry in North Sumatera (KADIN North Sumatera) urged the government and entrepreneurs to focus on building highways and roads in order to support the implementation of the Master Plan for the Acceleration and Expansion of Indonesia's Economic Development (MP3EI) in the area.

"The development of access highways automatically accelerates and supports the various MP3EI projects in North Sumatra such as the Kualanamu Airport, Industrial Area Sei Mangkei and Port Kuala Tanjung," said Tomi Wistan, the Vice Chairman of KADIN North Sumatera for Infrastructure and Property.

“The construction of around 21 MP3EI projects in North Sumatra worth 34.28 trillion RP can be done well and quickly if there is a strong synergy between the government, employers and the central government (the relevant ministries),” said the Chairman of KADIN North Sumatera Ivan Iskandar Batubara.

"We will also try to help to overcome barriers in MP3EI project development in North Sumatra such as spatial planning and other issues. There are still many obstacles in the acceleration of development in the region due to the unsynchronized policies at the national, provincial, and municipal level," said Ivan.

KADIN Indonesia - 2013

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Indonesia Snapshot

Capital: Jakarta
Population: 259 million (2016)
Currency: Indonesian Rupiah
Nominal GDP: $936 billion USD (IMF, 2016)
GDP Per Capita: $3,620 USD at Current Prices (IMF, 2016)
GDP Growth: 5.0% (2016)
External Debt: 36.80% of GDP (BI, Q2 2016)
Ease of Doing Business: 91/190 (WB, 2017)
Corruption Index: 90/176 (TI, 2016)