Indonesia and ADB
In the Spotlight
Education and skills are central to Indonesia’s growth prospects in the next decade. It now has the opportunity to capitalise on the substantial progress that has been made in expanding access to education.
Indonesia’s economic growth is expected to accelerate again over the next 2 years if the new government can keep up its momentum on structural reforms such as sharply reducing fuel subsidies, says a new ADB report.
On the Indonesian island of Sumatra, constructing a rural road became the opportunity for a rural community to develop the local economy and take charge of its own future.
The Sarulla Geothermal Power Project in Indonesia won Project Finance International's Asia Power Deal of the Year 2014. ADB accepted the award in London together with project sponsors, Itochu and Medco Power. This landmark renewable energy financing deal included innovative structuring of concessional funds from the Clean Technology Fund and the Canadian Climate Fund.
Indonesia was a founding member of ADB in 1966 and since then it has received $27 billion in loans, $307 million in grants, and $342 million in technical assistance.
Indonesia is the 16th largest economy in the world, and has continued to record strong economic growth over the last 6 years. The country has made significant strides in reducing the incidence of poverty.
ADB operations in the country is aligned with the government’s National Medium-Term Development Plan, which envisions an Indonesia that is prosperous, democratic, and just.