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The country aims to attract $180bn from the private sector, which may be challenging due to legal uncertainties in land acquisition and contractual framework.
Indonesia
The development bank hopes the loan will catalyse private capital into the country’s infrastructure sector which faces a gap in excess of $70bn per year.
Jakarta
More deregulation and introduction of tax incentives are expected to attract private capital, but risks, including corruption, remain.
While infra investors shouldn’t expect a repeat of the $5bn Equis Energy deal any time soon, they can look forward to a wealth of renewables opportunities. Each market poses its own challenges, though.
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