The strategic focus of the Indonesia Infrastructure Initiative has three components:
- Water and sanitation
- Transport (principally by road, rail, and sea)
- Infrastructure policy and investment
IndII’s work is generally conducted through existing Indonesian Government systems and procedures. IndII is committed to coordinating with other donor agencies that are planning, implementing and evaluating large infrastructure projects in Indonesia, and it emphasises the development of partnerships between government and the Indonesian private sector.
In its operations, IndII is mindful of the need to strike a balance among varying objectives. It strives for demand responsiveness at the same time it maintains its strategic focus. It works with strong agencies that can achieve immediate impacts, but also with weaker agencies that will benefit over the long term from institutional capacity building. Finally, it seeks to distribute its efforts appropriately between national and sub-national levels of government.
IndII’s efforts are also unified by a standardised approach to the evaluation and selection of potential activities. Every activity that IndII undertakes is first reviewed to ensure that it meets one or more of the following criteria:
- Does the activity enable more efficient and effective infrastructure investment through better identification, coordination, planning and implementation of projects; and will these have the potential to make a contribution to Indonesia's economic growth?
- Will the activity result in more efficient and effective infrastructure investment by reducing policy, regulation and financial uncertainty?
- Will there be positive economic and social impacts of the planned infrastructure investment by providing grants to support priority projects?