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Indonesia Infrastructure Report Q2 2015

137 Pages BMI Research February 18, 2015 SKU: BMI5470795

Indonesia Infrastructure Report Q2 2015

BMI View: Growth in Indonesia's construction and infrastructure sectors will accelerate in 2015,underpinned by political stability and the full implementation of the land acquisition bill. However, wemaintain a conservative near-term outlook on the sector due to non-conducive monetary conditions andpolitical headwinds. With President Joko Widodo's vision of establishing Indonesia as a 'maritime axis',transport infrastructure will remain in focus, particularly the development of ports.

Key Trends And Developments

We remain conservative over the outlook for Indonesia's construction and infrastructure sectors, althoughwe do expect an acceleration of construction activity in 2015. This is reflected in forecasts and we expectgrowth for the construction sector to come in at 6.59% in 2015, still lower than the 10-year historicalaverage growth rate of 7.2% per annum (between 2005 and 2014).

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Indonesia Infrastructure Report Q2 2015

BMI Research
February 18, 2015

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