Indonesia's Growth Overwhelming its Public Infrastructure

Indonesia's economy is growing but the crumbling infrastructure is costing residents.
January 9, 2012, 1pm PST | Cathie Pagano
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"Indonesia has one of the world's fastest growing economies, and it's already the largest in Southeast Asia. Yet this vibrant economy has an Achilles' heel: its crumbling, overwhelmed infrastructure."

According to Anthony Kuhn of NPR, "Indonesia's economy is growing at about 6.5 percent a year, and the country spends about 3 percent of its GDP on infrastructure."

"According to our survey, the transportation costs here in Jakarta and the surroundings are almost 30 to 40 percent of income," Elly Sinaga, Ministry of Transportation says.

Kuhn says that increasing the percentage of GDP spent on infrastructure, "its growth might compare more favorably to that of China."

Thanks to Cathie Pagano

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Published on Wednesday, January 4, 2012 in NPR
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