Roads to growth and development

INDONESIA RISING. Policy Priorities for 2010 and Beyond 53481 Roads to Growth and Development Key Messages 1. Development of the Trans-Java Highway and addressing the backlog in expressway development. Considering its long term socioeconomic benefits, the GoI should consider making a strategic decision to develop the trans-java highway project. As one possible option, the GoI could pre-fund land acquisition and consolidate different concessionaires into a single holding company with open capital to raise additional financing from private investors (shareholders). 2. Separation of policy formulation from service delivery and clarification of roles and responsibilities of the road sector institutions: Set up a sustainable financing mechanism to preserve all roads based on second generation road funds principles; Introduce and mainstream Output and Performance