Speaking at the third UAE-Indonesia Roundtable Discussion in Jakarta on Thursday (30/1/25,) Deputy Minister of State-Owned Enterprises (SOEs) Kartika Wirjoatmodjo said that the United Arab Emirates (UAE), as a good investment partner to Indonesia, has committed to invest USD 2 billion (approximately IDR 32.4 trillion) in several state-owned companies, according to reporting from Tempo.
The deputy minister said the UAE has pledged to invest USD 20 billion up to 2030, and the SOEs Ministry will look for projects to allow Indonesian state-owned companies to absorb the funding.
“Around USD 2 billion is underway for the SOEs investment,” he said. “We’ll work on it, one by one.”
Some of the agreed ventures include the Abu Dhabi Investment Authority (ADIA) investment in the Java Trans Toll Road Kanci-Pejagan and Pejagan-Pemalang segments. In addition, he mentioned Masdar’s investment in PT Pertamina Geothermal Energy and solar panels in Cirata, says Tempo.
Other investments revolve around the tourism sector, which includes port, airport, and hotel developments.
“Abu Dhabi Ports invests in a port in Bengawan. Everything is progressing, but of course, there are some negotiations about the commercial and business models. It’s normal,” he said.
“I believe the agreements we are working on are all ‘big size’ and very promising, especially in renewable energy with Masdar and Mubadala.”
Wirjoatmodjo admitted that reaching an investment deal was no easy feat, but he believed that with good governance and bureaucracy, the investment targets are achievable to boost Indonesia’s 5-year goal of 8 percent economic growth.
Meanwhile, UAE Minister of Energy and Infrastructure, Suhail Mohamed Faraj al-Mazrouei, expressed readiness to help Indonesia achieve the 8 percent economic growth target. The minister said such goals will require a large amount of investment, according to Tempo.
“We are ready to partner and work with you to achieve that target,” he said.
Furthermore, al-Mazrouei also underscored the significant efforts required to achieve the economic growth target by Prabowo’s administration. The minister emphasized the UAE’s commitment to supporting Indonesia.
Al-Mazrouei also brought up the necessity of boosting the cooperation between Indonesia and UAE, while pushing for swifter negotiation to carry out larger projects in the country. “We are ready to invest if given the opportunity,” he said.
Source: Tempo
Stock photo by Saj Shafique on Unsplash
