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Adia-backed platform to invest in more Indonesia toll roads 

By Neil Halligan
Adia is investing in development of the Trans-Sumatra Toll Road in Indonesia Kanur Ismail/Alamy via Reuters
Adia is investing in development of the Trans-Sumatra Toll Road in Indonesia
  • 138km of road in Sumatra
  • Follows investments in January
  • Supporting economic growth

A road toll platform backed by a wholly owned subsidiary of Abu Dhabi Investment Authority (Adia) has invested in a new section of the Trans Sumatra Toll Road that is being built across the island of Sumatra in western Indonesia. 

Indonesia’s sovereign wealth fund, Indonesia Investment Authority (INA), announced on Monday that its toll road platform has invested in the Medan-Binjai (17km) and Bakauheni-Terbanggi Besar (121km) sections of the planned 2,765km road. 

The combined enterprise value of the new assets is around $1.4 billion.

INA said adding the two sections to its toll road platform, which has investments from Adia and the Dutch pension fund APG, is part of its strategy to invest $2.75 billion in toll roads across Indonesia. 

“This investment not only solidifies our toll road platform with APG and Adia, it also expands our asset base, establishing a scalable investment platform that opens new avenues for economic opportunities,” Ridha Wirakusumah, CEO of INA, said in a statement.

The new road will run from Banda Aceh in the north of the island to Bakauheni in the south, with the aim of improving regional connectivity. 

Khadem Al Remeithi, executive director of Adia’s infrastructure department, said developing a high-quality toll road network would help to support Indonesia’s economic growth. 

“The addition of these two important sections of the Trans Sumatra Toll Road network expands the existing platform between INA, APG and Adia and provides exposure to some of the island’s most economically active regions,” he said. 

Sumatra island contributed 22 percent of Indonesia’s gross domestic product in the second quarter of 2024, INA said in its statement. 

The new sections will serve Medan, the capital of north Sumatra and Indonesia’s fourth-largest city, and Bakauheni-Terbanggi Besar, which links the islands of Java and Sumatra. 

In January the toll platform announced investments in the Kanci-Pejagan and Pejagan-Pemalang sections of the Trans Java Toll Roads. No financial details for the deal were given.

Adia opened an office in India earlier this month to accelerate its investment plans from its new operations in Gift City, the special economic zone in prime minister Narendra Modi’s home state of Gujarat.

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