Pramono Says Business Trust Enables Jakarta Projects Without Relying on Regional Budget
Jakarta Governor Pramono Anung says the trust of businesspeople in the Jakarta Provincial Government has enabled a number of strategic projects to be built without relying on the Regional Revenue and Expenditure Budget (APBD). He stated that several ongoing projects are being financed through creative financing schemes, such as the floor area ratio (KLB) mechanism and cooperation with the private sector.
“Many people have asked me, ‘Why is the KLB possible?’ Because there is trust. Because there is trust from business actors,” Pramono said during a gathering of the DPRD DKI Jakarta with members of the DPR RI and DPD RI for the Jakarta electoral district on Thursday (30/7/2026).
According to Pramono, this trust has enabled the Jakarta Provincial Government to invite the private sector to fund a number of public space and infrastructure projects without using the APBD. He cited the revitalisation of Taman Semanggi, which cost approximately Rp 135 billion, as an example. The project, he said, was entirely funded by a private partner.
“For example, Semanggi. The name remains Taman Semanggi, just with the addition of ‘by’ the company name. With just that, they paid Rp 135 billion and it will change the face of Taman Semanggi,” he said.
Furthermore, Pramono mentioned that the construction of a pedestrian tunnel connecting the Bundaran HI area with the MRT network was also carried out without APBD funds. Similarly, the construction of a pedestrian walkway in the Dukuh Atas area, which will integrate six modes of transportation—the Jakarta LRT, Jabodebek LRT, KRL Commuter Line, airport train, TransJakarta BRT, and regular TransJakarta services—is also being funded outside the APBD. The project is valued at around Rp 350 billion.
Pramono explained that this alternative funding strategy is pursued so that the APBD can be focused on financing programmes that directly benefit the public. “What is the APBD for? For KJP, KJMU, education, health, social assistance,” he said.
He added that the creative financing scheme is also applied through the granting of naming rights to a number of public facilities, including TransJakarta bus stops. According to him, this step also helps increase local tax revenue. “So if you notice, almost all bus stops now have names. Once a bus stop has a name, whether it’s Cimory or something else, there is tax revenue for the DKI Jakarta Provincial Government,” he stated.
Pramono emphasised that this approach is one of the ways the Jakarta Provincial Government maintains the pace of development amid reduced transfer funds from the central government, including a cut in revenue-sharing funds (DBH) amounting to Rp 15 trillion.