Indonesian Political, Business & Finance News

Jakarta Governor Pramono Plans to Sell Naming Rights for Tunnels and Infrastructure

| Source: DETIK Translated from Indonesian | Politics
Jakarta Governor Pramono Plans to Sell Naming Rights for Tunnels and Infrastructure
Image: DETIK

Jakarta Governor Pramono Anung has opened up the possibility of using naming rights schemes for various public facilities in Jakarta, including tunnels. He said this would be one creative way to fund development without relying on the regional budget (APBD).

“Anything can be put up for naming rights as long as it delivers benefits for Jakarta, so please go ahead,” Pramono said during a capacity-building event for the DKI Jakarta Regional Legislative Council (DPRD) in South Jakarta on Tuesday (21/7/2026).

He said private individuals may also put their names on public facilities through the naming rights scheme. The most important thing, he said, is that the person pays the Jakarta Provincial Government.

“Even if there is a tunnel that is later named after a private individual, that is fine too — the most important thing is that they pay the tax,” he said.

Pramono said naming rights represent a creative financing strategy. In his view, Jakarta cannot rely solely on the APBD.

According to Pramono, similar schemes have already been applied to a number of projects. One example is the construction of the pedestrian deck in the Dukuh Atas area, which was financed through naming rights.

“When we offered Dukuh Atas for naming rights, that too was creative financing. Many people wondered whether it was possible, because building the pedestrian deck in Dukuh Atas costs quite a lot,” he said.

Pramono noted that several other projects have also been built through creative financing schemes, such as Taman Bendera Pusaka, which was funded through Building Floor Coefficient (KLB) contributions, and the revitalisation of the Bundaran HI area, which is still under construction. He expressed hope that more projects could be financed through non-APBD schemes.

“The APBD’s main focus is education, health and social protection. If we can safeguard these three through the APBD, then other development can be carried out through creative financing, whether bonds, naming rights or other forms of partnership,” he said.

Targeting Rp 3.5 Trillion in Municipal Bonds

Pramono is also targeting the issuance of municipal bonds worth Rp 3.5 trillion in 2027. Proceeds from the bond issuance will be prioritised for long-term public service projects.

“Firstly, the Coordinating Ministry for Economic Affairs has in principle approved the municipal bonds, and hopefully we can issue them in 2027. The value is Rp 3.5 trillion, to be used for fundamental, long-term matters in the public interest,” Pramono said.

He said the municipal bonds will not be used for consumptive purposes. The funds, he said, will be allocated to projects whose benefits can be enjoyed by the public over the long term.

“These include public service projects such as the LRT, regional hospitals (RSUD), school units, retention basins, polders and so on. So everything is for the long-term public interest, not for consumptive purposes,” he said.

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