17-Aug-2010 11:31 AM

Indonesian Government plan to boost 2011 infrastructure spending: 14 new airport

Indonesian Government may increase capital spending in the 2011 state budget may rise by IDR26.6 trillion (USD2.96 billion) to IDR121.7 trillion (+28%) in 2011 in an effort to increase infrastructure development (Bloomberg, 16-Aug-2010). A higher infrastructure budget will assist in the construction of 14 new airports, 850 km of railways and improve the capacity of 2,613 km of roads. President, Susilo Bambang Yudhoyono stated the government plans to reduce the state budget deficit next year to 1.7% of GDP from 2.1% of GDP assumed in the 2010 budget.