Competitiveness, Industrial Modernization, and Trade Acceleration Program, Subprogram 3 (ADB-53211-003)

Regions
  • East Asia and Pacific
Geographic location where the impacts of the investment may be experienced.
Countries
  • Indonesia
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
C
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Oct 14, 2025
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Government of Indonesia - Coordinating Ministry for Economic Affairs
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Industry and Trade
  • Law and Government
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 500.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 1,292.38 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Media Documents
Other Related Projects
Primary Source

Original disclosure @ ADB website

Updated in EWS Jan 22, 2026

Disclosed by Bank Oct 14, 2025

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the project consists of a proposed policy based loan to the Republic of Indonesia for subprogram 3 of the Competitiveness, Industrial Modernization, and Trade Acceleration Program.

The program will support Indonesia’s desire for higher growth and sustainable development by (i) creating an enabling environment for investments, (ii) easing barriers to trade, and (iii) growing and upscaling enterprises. The program will enhance Indonesia’s efforts to develop its green industries to support global and local work to combat climate change. Building on the momentum of this program and evidence of continuing political commitment to reform, the government agreed to a post-program partnership framework (P3F) to further progress the reforms.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

In compliance with ADB’s Safeguard Policy Statement (2009), the program is classified category C for environment, involuntary resettlement, and Indigenous Peoples. The program is not expected to have adverse environmental or social safeguard impacts within the meaning of ADB’s Safeguard Policy Statement.

Major risks and mitigating measures are:
- Global economic uncertainty. Global economic uncertainty is high because of uncertainties driven by rising trade tensions, which are leading to higher costs, supply chain disruptions, and reduced economic growth.
- Institutional capacity and coordination. Low institutional capacity and coordination weaken reform implementation. This is particularly relevant for reforms that require the involvement of many line agencies.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

ADB Financing:
- Regular ordinary capital resources loan: US$ 500.00 million
Cofinancing:
- Japan International Cooperation Agency (not ADB administered): US$ 345.00 million
- Germany’s KfW Development Bank (not ADB administered): US$ 447.38 million

Total: US$ 1,292.38 million


Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

For the Borrower:

Ministry of Finance
Directorate General of Budget Financing and Risk Management
Frans Seda Building
Jln. Dr. Wahidin Raya No. 1
Jakarta 10710, Indonesia

For correspondence:
Attn: Directorate of Loans and Grants
Facsimile Number: (61 21) 381-2859
Email: direktoratPH@kemenkeu.go.id

For disbursement and payments:
Attn: Directorate of Evaluation, Accounting and Settlements
Facsimile Number: (61 21) 384-3712
Email: deas@kemenkeu.go.id

For ADB:

Asian Development Bank
6 ADB Avenue
Mandaluyong City
1550 Metro Manila
Philippines
Facsimile Numbers: (632) 8636-2444

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.adb.org/forms/request-information-form

ADB has a two-stage appeals process for requesters who believe that ADB has denied their request for information in violation of its Access to Information Policy. You can learn more about filing an appeal at: https://www.adb.org/site/disclosure/appeals

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main.

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