Full Steam Ahead on Megaprojects
Monday, November 6, 2017
Since being inaugurated into office in October 2014, President Joko Widodo has gone full speed ahead. He announced the beginning of a number of infrastructure projects all around the country. His aim was to overcome the lack of development. This mainly applied to the electricity sector, marine toll routes, and the Trans-Papua roadway. Compared to neighboring countries, the shortage of primary infrastructure is alarming. However, if not fiscally prudent, these massive projects could eat away at the budget. Some of the work requires towering costs.
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Massive Monies for Immense Infrastructure
The government is rapidly going ahead with some priority projects. Some are self-funded. Others have been assigned to state-owned enterprises in order to reduce pressure on state finances. Private investors have been given commercial projects. All these projects translate to enormous costs.
Special Economic Zones
Since September 2015, the government has established 17 special economic zones (KEK). The gover
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