Indonesia will ask Japan to contribute to a trans-Java railway project between the country’s capital and Surabaya, its second largest city, according to Transportation Minister Ignasius Jonan and other government leaders. Construction of the 750km railway is estimated to cost around 200 billion yen ($1.81 billion).
Japan intends to provide a long-term, low-interest yen loan, with expectations that Indonesia will use Japanese exports for the project, Japanese government officials said.
Jakarta wants to conclude a contract with Japan by the end of this year, begin construction next year and get trains rolling by 2019, the government officials said.
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