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Economy

Indonesia woes China's big investors in infrastructure

(Xinhua)
Updated: 2010-06-09 14:16
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JAKARTA: Indonesian officials have met with China's construction and electrical firms in Shanghai, offering them to involve in billions of dollars worth of infrastructure projects aimed to solve the bottlenecking of economic growth in the Southeast Asia's largest economy, a media reported Wednesday.

The meeting on Tuesday was attended among others by more than 30 high-level executives from China's big players with global footprints such as the China Railway Engineering Co, China Industry Investment International, State Grid International Development and China Road and Bridge Corp.

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Indonesian officials offered China's investors to take part in the projects of toll roads, sea port, geothermal power plant, power plants and railways in the provinces of West Java, East Kalimantan and Riau, the Jakarta Post said.

Chairman of Investment Coordinating Board Gita Wirawan said that the Indonesia has smoothed the way investing in the country by accelerating the process for business permit to between four hours to seven days from up to six month previously.

West Java governor Ahmad Heryawan told the executives that the province's investment arm, PT Jasa Sarana, was looking for partners to develop a 239-kilometer toll road project valued at $1 billion, and the Cilamaya port, worth an estimated $1 billion.

Three geothermal power plants are also in the list of projects offered by the province, which each cost $2 billion.

Riau province and East Kalimantan plans to build hundreds kilometers of rail railways, and East Kalimantan plans to build a power plant with capacity of 930 megawatt.

The Indonesian government is seeking over 1,000 trillion rupiah ($108.24 billion) funds, out of total 1,400 trillion rupiah?needed, from investors to finance its massive infrastructure projects by up to 2014 to achieve more than 7 percent economic growth in the year and to boost economic efficiency amid the implementation of some free trades.

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