"Chinese Infrastructure Projects in Indonesia Face Fresh Delays", 8 April 2021

On March 23, the Indonesian news magazine Tempo reported that the Jakarta-Bandung High-Speed Rail project, one of China’s main Belt and Road Initiative (BRI) projects in the country, has been delayed due to financial and environmental considerations.

This is not the first time that the project is facing issues and delays. Last year, it was reported that the project was suspended as Indonesia’s Ministry of Public Works and Housing argued that the construction of the project was disrupting the flow of traffic along the Jakarta-Cikampek toll road, the Purwakarta-Bandung-Cileunyi (Purbaleunyi) toll road, and other non-toll roads in the vicinity of the rail line.

In the short term, the government in Jakarta should sit and discuss with its Chinese counterparts on the next steps necessary to revive these stalled projects. The two countries should seek to jointly resolve these situations in a way that is mutually beneficial for both parties. Over the longer term, Indonesia needs to ensure that proper feasibility studies are conducted before signing any agreements, and that it addresses the various practical, financial, and environmental impacts that they have. [...]