Jakarta. Indonesia is nudging the Asian Infrastructure Investment Bank (AIIB) into increasing its financial support in the country. 

Chief Economic Affairs Minister Airlangga Hartarto recently told AIIB President Jin Liqun that Indonesia would deserve greater financing because of its status as ASEAN’s largest economy and its stable growth. Some projects that the AIIB could finance would include extending the Bandung high-speed train to Yogyakarta and Surabaya, the giant sea wall project in northern Java’s coast, connectivity in the Southern part of the Java island, and some other energy transition projects. 

"Connectivity in the south of Java Island offers new economic opportunities that need attention," Airlangga told Liqun on the sidelines of the ASEAN Summit in Laos. 

The AIIB is committed to developing connectivity in a broad sense, including in the digital and electricity sectors. According to Airlangga, there are a number of multi-year pipeline projects in Indonesia that need support from related ministries or government institutions. Given that Indonesia is prone to disasters, the AIIB also offers infrastructure projects to mitigate natural disasters. This includes flood control projects.

AIIB has financed 14 projects in Indonesia. Seven others are still awaiting financing approval, including toll road projects, bridges, housing, wind power and waste processing projects spread across the country. 

Airlangga also talked of the ASEAN Power Grid which is the bloc’s initiative to construct a regional power interconnection. He also spoke of the hydroelectric project in North Kalimantan which is part of the initiative. In the future, there will be a power interconnection between Sumatra and Singapore, as well as the Peninsular Malaysia, and eventually the mainland of the Asian continent. The interconnected power system project will connect Java-Kalimantan to Malaysia and Brunei.

Airlangga also told the AIIB to open an office in Indonesia.

"In addition to being the largest economy in ASEAN, Indonesia has the largest infrastructure project compared to all ASEAN countries and has many cooperation projects with AIIB. So it is appropriate for AIIB to open a representative office in Indonesia," Airlangga said. 

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