Adhi Karya Asked to Continue Monorail Project

VIVAnews - State Ministry of State-owned Enterprises (SOEs) stated that PT Adhi Karya Tbk (ADHI)'s plan of releasing shares concerning the Jakarta Monorail project cannot be put into effect within the short while.

The company is instead instructed to proceed with the project by previously seeking a joint solution with the Jakarta administration.

Earlier, Adhi Karya management acknowledged that it is seeing the possibility to release 30.1 percent of its ownership at PT Jakarta Monorail amounting to US$1,942 million. The statement uttered last year will be materialized if the monorail project stops due to fund shortage.

"The most important issue is that the project should be completed in the first place. We are requesting them to cooperate with the Jakarta administration to find a way out," said State Minister of State-owned Enterprises (SOEs) Sofyan Djalil on Friday, March 6.

Djalil said he had summoned the management of Adhi Karya to ask for a related explanation concerning the company's plan in developing the Jakarta Monorail project.

According to Djalil, both parties have had several options to continue working on the project.

The government, he went on to say, is only hoping that the project is not abandoned, as occurred today. In addition, Adhi Karya has actually suffered from losses because the fund to build the infrastructure has been invested.

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Translated by: Bonardo Maulana Wahono