ADB Allocates Rp 2.5 Trillion to Accelerate Home Internet Expansion in Indonesia
The Asian Development Bank (ADB) has announced a loan worth US$150 million or Rp 2.53 trillion (at an exchange rate of Rp 16,876) to PT Link Net Tbk (Linknet) to enhance digital infrastructure in Indonesia and improve broadband quality.
ADB’s head of representation in Indonesia, Bobur Alimov, stated that the financing would also be used to strengthen Linknet’s stability and facilitate further investment in the fibre optic broadband market, in line with its strategic shift towards a business-to-business model.
“This important agreement reinforces ADB’s role as a trusted partner in Indonesia’s digital development agenda. By supporting the expansion of Linknet’s digital infrastructure services, we aim to provide inclusive and equitable access and unlock the nation’s digital economic potential, estimated to reach US$366 billion by 2030,” Alimov said in a written statement on Tuesday, 10 March 2026.
The agreement will help communities and businesses access digital tools through Linknet’s investment to expand its national fibre-to-the-home (FTTH) network, which provides high-speed internet directly to households via fibre optic cables, and develop an open access wholesale model that will improve broadband quality, productivity and participation in the digital economy—particularly for micro, small and medium enterprises (MSMEs).
The agreement will also support the nation’s climate commitments through energy-efficient technology and upgraded network assets.
Since 2015, Indonesia’s mobile broadband industry has grown rapidly. However, adoption, access and pricing of broadband products, particularly fibre optic networks, remain lagging compared with neighbouring countries.
To address these challenges, the government is developing sectoral policies to streamline licensing procedures and standardise cost structures to encourage a competitive landscape for fibre optic broadband players.
“We are very enthusiastic about partnering with ADB on this important project to enhance our capacity to support Indonesia’s digital economy,” said Linknet Chief Executive Officer Kanishka Gayan Wickrama.
“This financial agreement will enable us to provide more efficient and faster services to our customers. It will also allow us to access long-term financing to align with our strategic and operational shift,” he added.
Linknet is a leading broadband service provider in Indonesia, majority-owned by Axiata Group Berhad, a leading telecommunications and digital services company focused on mobile and broadband services across Asia.