Indonesia and China are negotiating with China’s economic planner, the NDRC, to address a funding shortfall for the Jakarta–Bandung high-speed rail project, known as “Whoosh.” The gap emerged after costs rose by about $1.2 billion, while ticket sales fell short of loan payments.
Danantara, Indonesia’s state investment manager, has set out two options to resolve liabilities at PT Kereta Cepat Indonesia China (KCIC), the project company. They are a capital injection into KAI, or transferring the rail infrastructure to the state to stabilize the project and preserve the option to extend toward Surabaya.
