Key insights and market outlook
The Indonesian government plans to expand its railway network to 12,000 km by 2030, up from the current 7,000 km, under the leadership of President Prabowo Subianto 2
The Indonesian government, led by President Prabowo Subianto, is embarking on an ambitious plan to expand the country's railway network from the current 7,000 km to 12,000 km by 2030 2
A key milestone in this expansion plan is the addition of 600 km of new railway lines in 2026 2
The railway expansion is not just about enhancing passenger mobility but also about strengthening the backbone of Indonesia's logistics infrastructure. By improving the railway network, the government aims to reduce logistics costs, which are currently high, and boost economic activities in various regions. Minister of Infrastructure and Regional Development, Agus Harimurti Yudhoyono (AHY), emphasized that the railway expansion aligns with President Prabowo's vision to improve inter-regional connectivity 2
One of the priority routes for reactivation is the Cianjur-Bandung line, highlighting the government's focus on reviving critical regional connections 3
The reactivation and construction of railway lines will be carried out in stages, with a phased implementation plan to ensure timely completion by the target year of 2030. PT Kereta Api Indonesia (KAI), the state-owned railway company, will play a crucial role in executing this ambitious plan 3
The Indonesian government's plan to expand the railway network to 12,000 km by 2030 is a significant infrastructure development initiative that promises to transform the country's transportation landscape. By enhancing connectivity and reducing logistics costs, this project is expected to have a positive impact on the national economy and regional development.
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