The World Bank has approved the US$224 million Indonesia Mass Transit (MASTRAN) Project, which aims to support improved urban mobility and accessibility in key cities while strengthening Indonesia's institutional capacity for mass transit development.
In the first phase, the project will finance the development of bus rapid transit (BRT) systems in the metropolitan areas of Medan, North Sumatra, and Bandung, West Java. Apart from World Bank financing, the project will also receive an additional US$140 million financing from the Indonesian government, Agence française de développement (AFD), and the private sector bringing the total financing to US$364 million.
The project is also intended to support the establishment of national and sub-national agencies that are able to plan, develop, and manage mass transit systems in Indonesia. The project will facilitate reductions in greenhouse gas emissions through avenues such as a shift to more fuel-efficient vehicles, a shift from personal modes to public transport, reduced congestion, and expected electrification of the BRT fleet, and transit-oriented-development impacts over the longer term.