Downstreaming Projects Enter Execution Phase, Trillions in Investment Flow to Regions
Jakarta — The government has begun accelerating the execution phase of national downstreaming projects in early 2026 by mobilizing trillions of rupiah in investment directly into various regions.
The initial implementation phase will be marked by plans to break ground on six strategic projects in early February 2026. These projects are part of a total of 18 priority projects managed by the Danantara Investment Management Agency (BPI Danantara), with a cumulative value of approximately Rp600 trillion.
Secretary General of the Ministry of Energy and Mineral Resources (ESDM), Prof. Ahmad Erani Yustika, stated that all of these strategic downstreaming projects are on the verge of execution.
According to Erani, the Ministry of ESDM has completed the potential identification and initial assessment stages, while Danantara is preparing to move forward to the implementation phase following the submission of pre-feasibility study documents in July 2025.
“After the pre-feasibility study, these projects will be executed immediately and are expected to quickly attract large-scale investment,” Erani said.
Some of the initial-stage projects will be concentrated in West Kalimantan, particularly in the development of bauxite and aluminum.
Three of the six initial projects are projected to absorb nearly Rp47.31 trillion in investment and generate significant impacts on local economies through job creation and the strengthening of regional industrial value chains.
The government views the groundbreaking of downstreaming projects as a key instrument to stimulate the real sector and reinforce the fundamentals of the national economy.
There are plans for approximately six downstreaming projects to break ground initially, with additional projects to follow through March 2026.
West Kalimantan is among the locations, while around 12 other projects are scheduled to commence no later than March.
From an investment climate perspective, Minister of Investment and Downstreaming/Head of BKPM Rosan P. Roeslani said that the acceleration of downstreaming strengthens investor confidence amid global uncertainty.
“2025 was not an easy year, as the global economy was still marked by uncertainty. However, the government remains present and optimistic that these challenges can be navigated successfully,” Rosan explained.
He emphasized that investment realization in 2025 reached Rp1,931.2 trillion, exceeding the target, with downstreaming contributing Rp584.1 trillion or growing 43.3 percent year-on-year.
The entry of downstreaming projects into the execution phase marks an important stage in the transformation of the national economy, while also opening a more even flow of investment to the regions as a foundation for sustainable growth in 2026.