Indonesia’s KAI Invests in 600 New Trains, Anticipates Higher Demand in Jakarta After Capital Relocation

KAI, Indonesia’s state railway firm, predicts stable or even increasing train traffic in Jakarta and neighboring areas following the capital’s transfer to Nusantara (IKN) in East Kalimantan.

Anne Purba, KAI’s spokesperson, noted that rail passenger counts are projected to stay stable in the short to medium term, with potential for expansion beyond the capital move.

“Jakarta will continue to be a business hub, and we expect services like commuter lines to see increased usage. Currently, only 15 to 20 percent of people in Jabodetabek use public transportation,” Anne said at a press conference in Semarang, Central Java, on Friday.

She highlighted that the low current usage rate of public transport in Jakarta—under 20 percent—indicates significant potential for growth. New developments such as the Mass Rapid Transit (MRT) and commuter line (KRL), along with changing attitudes towards public transport, are expected to drive this increase.

“With these new developments and changing cultural attitudes, we anticipate a significant rise in public transport usage,” Anne added.

Anne also noted that while the relocation of the capital will have long-term effects on Jakarta’s passenger volumes, the development of IKN is ongoing and gradual.

“There will be long-term impacts, but the progress of IKN is still gradual,” Anne said.

To support its 2024 goal of serving 400 million passengers, KAI is investing in 600 new trains, including collaborations with Indonesian state-owned train manufacturer INKA for various train models.

“We are investing significantly in over 600 trains with INKA. This includes not only new commuter trains but also other types of trains,” Anne explained.

She noted that this investment is intended to enhance both local commuter services and long-distance train services, with a notable increase in passenger numbers, exceeding 200 million in the first half of the year.

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