PT Sarana Multi Infrastruktur Funds Rp2.83 Trillion for Badung Roads

PT Sarana Multi Infrastruktur (Persero) has secured its role as a key partner to local governments by financing a substantial road construction project for the Badung Regency in Bali. The agreement, which involves a funding total of Rp2.83 trillion, was finalized on October 30, 2025. The signing took place at the Badung Regent’s Office and was attended by notable officials, including the Regent of Badung, I Wayan Adi Arnawa, and the Governor of Bali, I Wayan Koster.

During the signing ceremony, Faaris Pranawa, the Director of Public Financing and Project Development at PT Sarana Multi Infrastruktur, emphasized the importance of this collaboration. He noted that the funding is tailored to meet the needs of the local government and will significantly enhance public infrastructure in the region.

Investment Aims to Boost Tourism and Local Revenue

This financing initiative is part of a broader effort to improve connectivity and promote regional development in Badung, a key tourist destination renowned for its cultural richness and natural beauty. The area is home to famous attractions such as Kuta, Seminyak, Canggu, and Nusa Dua, making it a vital hub for tourism in Indonesia.

Reynaldi Hermansjah, President Director of PT Sarana Multi Infrastruktur, expressed his appreciation for the partnership and reiterated the company’s commitment to sustainable development. He stated, “Through this partnership, PT SMI is also helping to promote regional development, strengthen local revenue, and enhance Badung’s competitiveness as an international tourist destination.”

The road construction is part of the Badung Regency Government’s Regional Medium-Term Development Plan (RPJMD 2025–2029), which outlines a comprehensive infrastructure development strategy with an estimated total project value of Rp15 trillion. This effort aims to create a long-lasting impact on the local economy and community.

Infrastructure Development and Economic Growth

The funding will facilitate the construction of nine strategic road sections spanning a total of 11.8 kilometers in North Kuta and South Kuta. This project is expected to provide the Badung Regency Government with increased fiscal flexibility, allowing for the financing of other priority programs.

I Wayan Adi Arnawa highlighted the significance of the agreement, stating, “By signing this MoU, we are ensuring that infrastructure development in Badung is not just a political promise, but a real development strategy that will have a cross-generational impact.” He emphasized that the road improvements are a crucial step toward creating a more prosperous and connected future for the region.

As of August 2025, PT Sarana Multi Infrastruktur has disbursed regional financing totaling Rp36.16 trillion, with Rp18.02 trillion still outstanding. Notably, 75.2% of this financing has been allocated for infrastructure projects in the road and bridge sector, underscoring the company’s commitment to enhancing Indonesia’s infrastructure landscape.

Established on February 26, 2009, PT Sarana Multi Infrastruktur operates under the coordination of the Ministry of Finance as a State-Owned Enterprise. It plays a vital role in driving sustainable development through its three business pillars: Commercial Financing, Public Financing, and Advisory Services. The company actively promotes Public-Private Partnerships (PPP) to accelerate infrastructure development across the region.

Through this strategic investment, PT Sarana Multi Infrastruktur aims not only to improve road connectivity in Badung but also to stimulate economic growth, enhance tourism, and elevate the overall quality of life for residents.