190 Construction Projects in Indonesia Stagnant Since 2010
11 January 2018 11:00 WIB
TEMPO.CO, Jakarta - The Government revealed that there are 190 construction projects that remain stagnant from 2010 to 2017. The value of those development projects reaches a staggering Rp351.9 trillion from domestic investments and Rp725 trillion from foreign investments, which is Rp1,077 trillion combined.
Special Staff of the Coordinating Minister for Economic Affairs, Edy Putra Irawady, said that the hundreds of stagnant development projects come from numerous sectors where 51 of them are in the Java Island.
The rest of the development projects are spread across Sumatra (35), Kalimantan (26), Sulawesi (24), Bali and Nusa Tenggara (9), and Maluku and Papua (18). This leaves 20 projects where its location is yet to be decided and seven projects that have more than one location.
According to Edy, the stagnation can be affected by many reasons. “The main reason is related to issues regarding lands,” he said at the Coordinating Ministry for Economic Affairs headquarters on Wednesday, January 10.
Other problems stem from issues regarding permits and the constantly changing regulation.
Coordinating Minister for Economic Affairs Darmin Nasution said that the issue has been discussed together in a coordination meeting where the government is attempting to identify the root cause of it and is searching to find a solution.
VINDRY FLORENTIN
