Indonesia and Germany have agreed to collaborate on eco-friendly transportation systems in Semarang and Surabaya, backed by the KfW Development Bank.
ndonesia and Germany have agreed to collaborate on developing environmentally friendly bus rapid transit systems in Semarang and Surabaya.
There have also been talks about modernizing the railway system in Surabaya.
The German government will provide funding for the projects via the KfW Development Bank, reportedly at the tune of 2.5 billion euros (US$ 2.72 billion).
Transportation Minister Budi Karya Sumadi said the transportation sector is one of the most significant contributors to carbon emissions in Indonesia. Therefore, developing a green transportation system is a priority.
“[Indonesia and Germany] have had good relations for around 60 years and have worked together to reduce carbon emissions and combat climate change,” Budi said at the opening of an event to commemorate KfW’s 75th anniversary on Tuesday.
“We hope there will be more green transportation projects commencing in the future, in line with the 2025-2029 National Mid-Term Development Plan [RPJMN],” he added.
The collaboration is part of the Indonesian-German Green Infrastructure Initiative (GII) to support Indonesia’s efforts in sustainably reducing carbon emissions.
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