Second DPL to reform the Indonesian maritime logistics sector

closed

Closed

The development objective of Second Logistics Reform Development Policy Loan Project for Indonesia is to reduce the costs and improve the reliability of the logistics chain in Indonesia. It comprises of three pillars with the following PDOs: 1) Pillar A: Enhancing ports’ performance; 2) Pillar B: Improving logistics services; and 3) Pillar C: Strengthening trade processing. This second operation in the DPL series builds on the first operation to support the government’s overall objective to reduce the costs and improve the reliability of the logistics chain in Indonesia. Its design has benefited from an extensive collaboration between the government, in particular the Coordinating Ministry of Economic Affairs (CMEA), the Indonesia National Single Window (INSW) Portal Administrator, the Ministry of Transport, and the Ministry of Finance, and the World Bank. The level of Government’s ownership of the operation is high. The government has seen the DPL as a clear opportunity to further galvanize ministries and agencies around an ambitious reform program on logistics, including on core logistics services and on the further strengthening of the INSW. The early results of the DPL series are encouraging, with significant progress across the three main pillars. The World Bank monitoring work suggests that the reforms supported by the DPL have already started to make an impact in a number of areas, including an acceleration of new port projects with additional private participation, increased entry of operators including foreign in various logistics markets port investments and the reduction of time and costs of trade processing.

FY17 - Industry, Trade and Services,FY17 - Transportation

World Bank Group

Project

Warehouse, Seaport, Government