CDB News

Home>News Center>CDB News
Home>News Center>CDB News
CDB News

Loan Agreement Signed for Indonesia's Jakarta-Bundung High-Speed Railway Project

【Font-Size:BigMiddleSmall
Time:2017-05-14  Source:CDB

CDB has signed a USD 4.5 billion loan agreement with PT Kereta Cepat Indonesia China (KCIC) in support of Indonesia’s Jakarta-Bundung High-Speed Railway Project, witnessed by the heads of state of China and Indonesia. Officially signed during the Belt and Road Forum for International Cooperation, the agreement marks the start of fast implementation of the first international order won in China’s high-speed rail sector.

Following the signing of EPC on April 4, based on the mutually beneficial and win-win principle, CDB and PT KCIC, along with Chinese and Indonesian sponsors, have worked closely with China Railway Corporation and other Chinese partners towards the successful signing of the loan agreement, marking a milestone of the project.

The Jakarta-Bundung High-Speed Railway Project, as a flagship bilateral cooperation project high on the agenda of both governments, is the first global high speed rail project using Chinese technology and standards. By building joint ventures, Chinese companies are involved in investment, construction and operation of the project, which marks the global expansion of the whole value chain across the industry covering the aspects of skills and protocols, investigations and planning, project construction, equipment manufacturing, material supply, operation management and personnel training, and a great success achieved in the early stage of the “One Belt, One Road” initiative. Jakarta-Bundung High-Speed Railway, as the first high-speed railway in Southeast Asia, is set to be a flagship project that will boost economic development in Indonesia and benefit the Indonesian people. After the railway is open to traffic, commute time between Jakarta and Bundung will be reduced from 3-5 hours to 40 minutes, and local transportation will be greatly improved and benefit residents along the railway. What’s more, the railway project will drive the development of infrastructure, commerce, electronic industry, logistics and tourism, as well as local economy and society in the regions along the railway.