Indonesia is pushing for faster progress on flagship infrastructure projects on which it is cooperating with Japan, but various issues have yet to be settled, including pricing.
Indonesian Transportation Minister Budi Karya Sumadi (R) inspects the LRT Palembang project in May 2018 (Photo: Indonesia's Transportation Ministry)
Jakarta (VNA) - Indonesia is pushing for faster progress onflagship infrastructure projects on which it is cooperating with Japan, butvarious issues have yet to be settled, including pricing.
Transportation Minister Budi Karya Sumadi met with top officials in Japan lastweek to discuss several projects, including the second phase of MRT Jakarta,the Makassar-Parepare railway, Patimban seaport and a vehicle roadworthinesstesting and certification facility (BPLJSKB) in Bekasi, West Java.
During his visit, Budi asked the Japanese government to adjust its bid pricefor the Jakarta MRT Phase 2 project, saying that the developer’s proposedprice was “too high”.
The Japanese Embassy in Indonesia said Tokyo is working with the JapanInternational Cooperation Agency (JICA) to help operator PT MRT Jakarta andother negotiating companies reach an agreement on the completion date andclose in on agreeable prices.
Japan’s Sumitomo Mitsui Construction Company won a contract to build part ofthe MRT Jakarta’s phase-two development over a 72-month schedule that startsthis month and ends in August 2027.
The Makassar-Parepare railway project, on the other hand, isproceeding as planned and nearing the financial close, according to Budi. Theconstruction work is divided into five stages, one of which is expected tobreak ground by the end of this year.
Meanwhile, Indonesia said it welcomed Japan’s interest in the public-privatepartnership (PPP) scheme for developing the BPLJSKB in Bekasi. The ministersaid that a Japanese company is participating in the project’s ongoingauction, without naming the company.
The Patimban Port project is almost complete, with the port slated tocommence operations in December.
During his visit, Budi also invited Japanese stakeholders to collaborate inthe construction of five seaports, including New Palembang Port in SouthSumatra, Gorontalo Port in North Sulawesi and Batam Port in Riau Islands. TheInvestment Coordinating Board (BKPM) data show that Japanese investment inIndonesia has increased significantly over the past three years, rising 175percent from 3.2 billion USD in 2018 to 8.8 billion USD in 2020./.
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Vietnamese Ambassador to Israel Ly Duc Trung emphasised ASEAN’s central role in regional mechanisms such as the ASEAN Regional Forum (ARF) and the East Asia Summit (EAS), highlighting its significant contribution to promoting peace, stability, and prosperity in Southeast Asia.
The consumer index of the University of the Thai Chamber of Commerce (UTCC), fell to 51.7 in July from 52.7 in the previous month. The sluggish economy and the trade war, as well as high living costs, continue to undermine confidence, the university said.
Deputy Speaker of the Hungarian National Assembly Istvan Jakab expressed his hope for further deepening Hungary’s ties with ASEAN countries and called for their support for Hungary’s accession to the Treaty of Amity and Cooperation in Southeast Asia.
The 30-storey tower crumbled seconds after a 7.7-magnitude earthquake hit neighbouring Myanmar on March 28. The partially built high-rise, meant to house the State Audit Office (SAO), was the only building in Thailand to collapse, killing 89 people on the site, mostly construction workers.
Indonesia’s waste generation is projected to exceed 50 million tonnes in 2025. Of the total, more than 20 million tonnes could potentially enter the ocean through rivers, coastal areas, small islands, ports, and marine activities, and thereby, pose a risk to coastal ecosystems and marine biota.
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Malaysia’s gross expenditure on R&D (GERD) reached 1.01% of gross domestic product in 2022, a notable increase, with more than 51% contributed by the industry sector. The country is targeting GERD to reach 2.5% by 2030, in line with the national goal of transforming into a high-technology nation.
The facility was established in response to a growing shift in the Filipino labour force from the Middle East to Japan, where workers are seeking safer working environments.
In the latest Indonesia-US trade agreement in July, the US administration agreed to reduce the reciprocal tariff, which was initially set at 32% by US President Donald Trump last April, to 19%.
Real estate agency ERA Singapore estimated that there are 2,703 condo developments in Singapore today, of which 836 or 31% are at least 30 years old. In 10 years, this number is expected to climb to 1,160, assuming none is sold en bloc.
Indonesian Transportation Minister Budi Karya Sumadi (R) inspects the LRT Palembang project in May 2018 (Photo: Indonesia's Transportation Ministry) 
