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U.S.-led Coalition Rolls Out First Major Infrastructure Project Under the New Partnership for Global Infrastructure and Investment

Indonesia President Joko Widodo, U.S. President Joe Biden and European Commission President Ursula von der Leyen hold an event on the Partnership for Global Infrastructure and Investment on the sidelines of the G20 Summit in Nusa Dua on the Indonesian resort island of Bali on November 15, 2022. SAUL LOEB / AFP

The G7 group of wealthy countries unveiled the first major initiative as part of its Partnership for Global Infrastructure and Investment (PGII), which is ostensibly aimed at countering China’s dominance in financing infrastructure in developing countries.

The coalition announced a $20 billion climate finance deal on Tuesday that will help Indonesia to transition from largely coal-based energy generation to cleaner renewable sources. Jakarta has pledged to cap carbon emissions from its power sector by 2030 and also aims to generate a third of its power from renewable sources, including wind and solar.

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