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Gov't agress on Rp 18.6t fresh fund for Hutama Karya to complete Sumatra toll roads

Jakarta Globe - April 26, 2024

Ichsan Ali, Jakarta – President Joko "Jokowi" Widodo has greenlit a fresh capital injection of Rp 18.6 trillion ($1.1 billion) for state-owned construction company Hutama Karya to speed up the construction of the Trans-Sumatra toll roads.

"In order to improve the capital structure and bolster the Hutama Karya's capacity to undertake the construction pf the Sumatra toll road, it's consider necessary to increase the Indonesian government's investment in Hutama Karya," according to a decree signed recently by the president.

The allocated funds will enable Hutama Karya to conclude the remaining toll road projects, crucial for connecting all provinces across Sumatra.

The Jokowi administration initially targeted to complete the toll roads spanning from Lampung in the south to Aceh in the north of Sumatra Island before the president retires.

With just six months remaining in the president's final term, completing the entire project within the set timeframe appears increasingly challenging.

The project encompasses 2,704 kilometers and involves the development of 24 distinct road sections and arteries.

Source: https://jakartaglobe.id/business/govt-agress-on-rp-186t-fresh-fund-for-hutama-karya-to-complete-sumatra-toll-road