Dutch pensions asset manager APG and Abu Dhabi Investment Authority (ADIA) have launched a $2.75bn (€2.5bn) Indonesian toll road investment platform with an initial investment in the Trans Java Toll Road.

The investment, made in the Trans Java Toll Road sections of Kanci-Pejagan and Pejagan-Pemalang alongside the Indonesia Investment Authority (INA), follows APG and ADIA’s memorandum of understanding signed in May 2021 to establish Indonesia’s first toll road investment platform.

Ridha Wirakusumah, CEO of INA, said: “By welcoming APG and ADIA as shareholders, we aim to bolster our capacity to support and advance strategic national development projects, which is anticipated to yield significant economic benefits and propel Indonesia into a future of connectivity and prosperity.”

Hans-Martin Aerts, the head of infrastructure and natural resources at APG Asset Management Asia-Pacific, said: “Infrastructure remains a foundational need for supporting the region’s economic growth and delivers stable, risk-adjusted returns for the benefit of APG’s pension fund clients and their participants.

“With this investment, we aim to help communities unlock economic value by providing connectivity between developing rural and urban regions through quality infrastructure.”

Khadem Alremeithi, executive director of infrastructure at ADIA, said: “As one of the world’s fastest-growing economies, Indonesia is developing its infrastructure to support increased industrialisation and more efficient supply chains.

“The Trans Java Toll Road is a key part of these plans. We are pleased to support its development through this platform with INA and APG, which will continue to seek additional opportunities to invest in Indonesia toll roads.”

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