November 15, 2025 | 10:14 am
TEMPO.CO, Jakarta - Indonesia’s Finance Minister Purbaya Yudhi Sadewa has expressed his intention to participate in negotiations to restructure the debt of the Jakarta-Bandung High-Speed Train project, also known as Whoosh, with Chinese creditors.
His goal is to ensure that the restructuring does not result in significant losses for the country.
“I want to be involved if Danantara discusses the matter with China. I want to make sure we don’t suffer substantial losses, while seeking the best solution for the country,” Purbaya said during a media briefing at the Ministry of Finance on Friday, November 14, 2025.
Speaking personally, Purbaya stated he prefers that the Whoosh debt not be covered by the state budget. “I would prefer not to pay,” he said, while noting that the final decision rests with President Prabowo Subianto.
The government is currently exploring options for handling both the debt and potential financial losses from the high-speed rail project. Preliminary discussions suggest that the state would cover the infrastructure costs, while Danantara would manage operational expenses and train facilities.
However, no final decision has been made on this plan.
At the end of October, Danantara Indonesia Chief Operating Officer Dony Oskaria confirmed that debt restructuring is targeted for completion within 2025. Dony said the company would soon travel to China to negotiate loan repayment terms.
“This negotiation will cover loan terms, interest rates, and discussions on several currencies,” Dony told journalists at the Ministry of Finance in Jakarta on Thursday, October 23, 2025.
The Jakarta-Bandung High-Speed Train project, which began construction in 2016, has incurred a total cost of US$7.2 billion (approximately Rp120 trillion at an exchange rate of 16,707 per US dollar). This includes an initial investment of US$6.02 billion and a cost overrun of US$1.21 billion.
Funding for the project came primarily from the China Development Bank, which provided 75 percent of the financing, with the remaining 25 percent sourced from the equity of PT Kereta Cepat Indonesia China (KCIC).
The consortium PT Pilar Sinergi BUMN Indonesia (PSBI) holds 60 percent of KCIC shares, while a Chinese consortium, Beijing Yawan HSR Co Ltd, owns the remaining 40 percent.
Anastasya Lavenia and Han Revanda contributed to the writing of this article.
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