Indonesia Plans to Build 14,000 km of New Railway Lines, Investment Needed up to $75 Billion
Aprianus Doni Tolok / Editorial Team
Rabu, 22 April 2026
JAKARTA — Indonesia is planning a major expansion of its railway network by building approximately
14,000 kilometers of new rail lines, with total investment needs estimated at:
Rp1,100–1,200 trillion (≈ $68.8–75 billion USD)
Coordinating Minister for Infrastructure and Regional Development
Agus Harimurti Yudhoyono (AHY) said the scale of investment reflects the strategic importance of railway development in supporting long-term economic growth and regional connectivity.
“The figure is large, but this is a long-term investment for Indonesia’s future,” he said in Jakarta on April 22, 2026.
The government emphasized that the project cannot rely solely on the state budget (APBN). Instead, financing will involve a combination of
public-private partnerships (PPP/KPBU), private investment, and other alternative funding schemes.
AHY also stressed that railway development must be carried out in an integrated manner, aligned with
spatial planning and key economic centers, to maximize its impact on both logistics and passenger mobility.
Separately,
PT Kereta Api Indonesia (KAI) has confirmed plans to begin
large-scale railway reactivation starting this year, in line with Indonesia’s
National Railway Master Plan (Ripnas) 2030.
Under the broader railway strategy, development and expansion targets include:
- Sumatra → Target network of 2,900 km (currently ~1,854 km)
- Kalimantan → Planned 1,200 km
- Sulawesi → Target 734 km
- Papua → Target 100 km
- Java, Madura, Bali → Planned 5,590 km (currently ~4,921 km active)
In addition, the government plans to
reactivate 13 railway lines in Java to improve connectivity and network utilization.
Overall, the development of
14,000 km of new railway lines represents a long-term national infrastructure initiative aimed at strengthening Indonesia’s logistics network, improving regional integration, and supporting sustainable economic growth.
Agus Harimurti Yudhoyono mengatakan bahwa kebutuhan investasi jumbo untuk pembangunan jaringan kereta api nasional sepadan dengan nilai strategis untuk mendukung pertumbuhan ekonomi dan pemerataan wilayah.
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Indonesia Plans 14,000-km Rail Network Outside Java by 2045
The Jakarta Globe
April 24, 2026 | 1:35 pm
The aerial photo shows a Trans Sulawesi train preparing to conduct a railway trial in South Sulawesi on October 29, 2022. (B-Universe Photo)
Jakarta. Indonesia plans to build a 14,000-kilometer railway network across Sumatra, Kalimantan, and Sulawesi over the next two decades as part of a major infrastructure drive beyond Java, a senior official said on Thursday.
The project is expected to require an investment of around Rp 1,200 trillion ($69.4 billion), Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono said in a statement.
“The figure is large, but this is a long-term investment in Indonesia’s future,” Agus said, adding that the cost would not be borne solely by the state budget and would also involve private-sector participation.
Indonesia plans 14,000 km of rail outside Java by 2045 in a $69.4 billion push to improve connectivity.
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