Early project preparation (pre-concept paper) support for Indonesia: Project to Optimize Regional Transport (PORT) was approved by the Multilateral Cooperation Center for Development Finance (MCDF) Governing Committee on 24 July. PORT aims to promote maritime connectivity in Indonesia and the Association of Southeast Asian Nations (ASEAN) region, in line with the 2025 ASEAN Connectivity Master Plan.

The PORT pre-concept paper support will be implemented under the Asian Infrastructure Investment Bank’s (AIIB) Joint 3-Year Program with ASEAN Supporting Infrastructure Connectivity in the ASEAN Region. The MCDF Governing Committee approved a USD2.69 million grant for the program in October 2022, including a provision for 6 early project preparation (pre-concept paper) support totaling USD900,000 (up to USD150,000 each). PORT, with the total cost of USD150,000, is the first support under this provision.

MCDF’s support for PORT will cover a diagnostic study of Indonesia’s maritime sector and efforts to identify potential investment projects for enhancing port infrastructure and maritime equipment supply chains.

A preliminary study of selected prospective investments will subsequently be prepared and presented to Indonesia’s Transportation Ministry and stakeholders to inform decisions aimed at boosting Indonesia-ASEAN region maritime connectivity.

Activities funded by MCDF’s PORT pre-concept paper support will further seek to facilitate project collaboration, including with potential co-financing partners. They will also help the Government of Indonesia submit identified investment projects for possible inclusion in ASEAN’s Rolling Priority Pipeline under the 2025 ASEAN Connectivity Master Plan.

In addition to the 6 planned early project preparation (pre-concept paper) support, AIIB’s Joint 3-Year Program with ASEAN Supporting Infrastructure Connectivity in the ASEAN Region includes capacity development, showcase events, and consultation workshops.