Indonesian Political, Business & Finance News

Ministry of Transportation Offers Indonesian Railway Investment to UK Investors

| | Source: ACHMADNURHIDAYAT.ID Translated from Indonesian | Infrastructure
Ministry of Transportation Offers Indonesian Railway Investment to UK Investors
Image: ACHMADNURHIDAYAT.ID

The Indonesian government, through the Directorate General of Railways of the Ministry of Transport, offered investment opportunities in the national railway sector to British investors at the Mandarin Oriental Hotel in Jakarta on Wednesday (29 July 2026), as reported by Detik Finance.

The move was taken to encourage foreign participation in funding rail infrastructure projects and the adoption of modern technology in the country.

Director General of Railways at the Ministry of Transport, Allan Tandiono, outlined the enormous potential of the national rail transport network at the UK-Indonesia Rail Partnership Forum 2026, attended by 15 British companies.

“Indonesia currently operates around 6,927 kilometres, or nearly 7,000 kilometres, of railway lines. I believe we can be proud, because we have the longest railway network in South-East Asia,” said Allan Tandiono, Director General of Railways at the Ministry of Transport.

Most of the national rail network is located on the island of Java, followed by Sumatra and Sulawesi, whilst the dedicated network in Papua is managed privately for logistics purposes. Beyond the active network, Indonesia also has more than 2,200 kilometres of disused track that could potentially be revived.

To date, railway project development has relied on the state budget, sharia financing, and bilateral partnerships with Germany, Japan, and China.

“Going forward, we hope the United Kingdom can join us — not only doing business with us, but also providing financing support so that railway development can be accelerated,” said Allan Tandiono, Director General of Railways at the Ministry of Transport.

As a priority for developing future rail transport, the government has designated ten metropolitan regions, covering Jabodetabek, Greater Bandung, Kedungsepur, Yogyakarta-Solo, Gerbangkertosusila, Bali, the Nusantara Capital (IKN), Medan, Palembang, and Makassar.

“These regions comprise Jabodetabek, Greater Bandung, Kedungsepur (Semarang), Yogyakarta-Solo, Gerbangkertosusila (East Java), Bali, the Nusantara Capital, Medan, Palembang, and Makassar,” said Allan Tandiono, Director General of Railways at the Ministry of Transport.

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