Indonesia's real GDP growth rate remained high at 6.2% in 2012 following 6.5% in 2011. With a population of 240 million, the presence of Indonesia increases as a key driver of economic growth in the ASEAN region. However, the infrastructure is not keeping up with the economic growth. To help resolve Infrastructure shortage in Jakarta Metropolitan Area, JICA, in cooperation with the Government of Indonesia, created "the Master Plan for Establishing Metropolitan Priority Area for Investment and Industry (MPA) in JABODETABEK Area" which was approved by the ministerial levels of Japan and Indonesia in October 2012. JICA is working with the government of Indonesia to accelerate the formulation and implementation of the projects listed in the Master Plan.
Demand is increasing for schemes using the Public-Private Partnership (PPP) approach as a means of encouraging private-sector companies to participate in infrastructure development. In addition, JICA's cooperation encompasses the supports of response to international and regional challenges such as climate change and the new agenda of Indonesia's emergence as a donor country.
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