Indonesia and ADB
In the Spotlight
Indonesia’s economy will continue to expand in 2019 and 2020 because of robust domestic demand, says a new ADB report.
Rantau Dedap geothermal power project in South Sumatra, Indonesia is expected to generate more than 90 MW of electricity, which will power up to 130,000 homes and avoid over 400,000 tons of carbon dioxide emissions every year by 2021.
ADB President Nakao Met with President Widodo and Pledged $1 Billion in Support of Sulawesi Earthquake and Tsunami Affected Areas
In addition to an emergency budget support loan of up to $500 million, ADB stands ready to provide additional project loan financing of about $500 million to support reconstruction.
Indonesia boasts the largest economy in the Association of Southeast Asian Nations (ASEAN), and the 16th largest worldwide. Its economic growth since 2009 has helped lift over 3 million Indonesians out of poverty.
ADB adapts its support for Indonesia to reflect the complex development needs of a rapidly evolving middle-income country. The focus of assistance has moved from an emphasis on agriculture in the 1970s, to energy, urban infrastructure, and education in the 1980s, to finance sector reform and resilience in the late 1990s. With Indonesia having built much stronger systems and capacity, ADB now provides results-based forms of financing, enabling the country to use its internal systems and principle-based approaches.
Indonesia is part of the Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA) and the Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT) subregional programs.
Projects in Indonesia