Infrastructure Projects Boost Economic Value to Trillions of Rupiah

Economics & Macro

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Yosepha Pusparisa 18/09/2020 13:25 WIB

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The government could have created tens of millions of jobs in the infrastructure sector between 2005 and 2019. Their contributions to economic value added also varied. Road projects dominated, reachi

Economic Value Added of Government Infrastructure Projects (2005-2019)

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Infrastructure Projects Boost Economic Value to Trillions of Rupiah

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Economic Value Added of Government Infrastructure Projects (2005-2019)

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The Indonesian government absorbed thousands to tens of millions of workers in the infrastructure sector between 2005 and 2019. The contribution to economic value added varied across sectors.

Government-funded road projects contributed the largest economic value added, reaching Rp 1,500 trillion. The construction of toll roads, such as Trans Sumatra, Trans Java, and Trans Kalimantan, created up to 20 million jobs.

Conversely, the lowest economic value added came from the water management sector. Although the water management sector created up to 194,000 jobs, its economic value added amounted to only Rp 4.6 trillion. This figure is lower than that of airport projects, which absorbed only four thousand people but generated an economic value of Rp 20.89 trillion.

Editor : Aria W. Yudhistira

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."