Jakarta, INTI - The Indonesian government presented a comprehensive infrastructure strategy at the Asia Infrastructure Forum 2026 in Singapore on June 16, focusing on strengthening essential public services while addressing the growing risks of climate change to the country’s economic backbone.
Focus on Basic Services and Climate-Resilient Infrastructure
Deputy Coordinating Minister for Basic Infrastructure, Rachmat Kaimuddin, stated that current investment priorities are centered on “getting basic services right,” with a strong emphasis on improving infrastructure that supports food production and distribution, particularly irrigation systems and rural roads. In addition, the government is also prioritizing water supply and sanitation infrastructure to ensure access to clean water and healthier living conditions for the population.
Kaimuddin further highlighted the importance of supporting Indonesia’s economic growth through cleaner energy solutions and improved energy resilience. However, he acknowledged that the country faces significant challenges that require large-scale interventions, particularly in coastal protection and modern waste management. He also pointed out that the proposed “Giant Sea Wall,” which would span approximately 1,000 kilometers, could serve not only as a protective infrastructure project but also as a major opportunity for real estate development.
Coastal Protection, Green Infrastructure, and Financing Innovation
Adding to the discussion, Mohammad Irfan Saleh, Deputy of Funding and Investment at the North Java Coastal Management Authority, emphasized that the Northern Java corridor is strategically vital to the national economy. The region contributes around 40% of Indonesia’s GDP, while Jakarta alone accounts for approximately 60% of that output.
He noted that the region is facing serious environmental threats, including land subsidence, rising sea levels, and extreme weather conditions. To address these challenges, the authority is preparing large-scale and complex infrastructure projects that integrate both green and grey infrastructure approaches, combining nature-based solutions such as mangrove restoration and carbon financing with traditional developments like ports and artificial islands.
In Jakarta, plans include the construction of a Giant Sea Wall integrated with artificial islands to improve connectivity through new transport networks. An additional innovation involves utilizing the 12,000-hectare retention lake created by the project for floating solar energy systems, with even a small portion of its capacity expected to generate significant renewable energy output.
Both officials emphasized the importance of private sector participation and multilateral development bank funding to support these initiatives. As Indonesia transitions away from conventional approaches such as unmanaged coastal development and basic landfill systems, the government is actively seeking innovative financing models to build more sustainable and climate-resilient infrastructure for the future.
Conclusion
Indonesia is advancing a large-scale, climate-resilient infrastructure agenda that prioritizes basic public services, energy transition, and coastal protection. With critical regions like Northern Java facing serious environmental threats, the government is combining green and grey infrastructure approaches while actively seeking private and multilateral funding to ensure sustainable long-term development.
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