Indonesia Increases its Railway Transportation Subsidy to $243 Million
Transportation Ministry increases this year’s railway subsidy for economy class of 3.4 trillion rupiahs ($243 million), or up 30.7 percent from 2.6 trillion rupiahs ($185.8 million) in the previous year.
This was marked by the signing of a contract for the Implementation of Public Service Obligation (PSO) for Train Passengers in the Economy Class between the Transportation Ministry and the state-owned railway operator PT Kereta Api Indonesia (Persero) or KAI on Sunday, February 14.
Transportation Minister Budi Karya Sumadi expressed hoped that the subsidies provided by the government can be utilized by KAI properly so that it will bring benefits to the public.
As many people use trains, the government called for KAI to provide their best services, including the implementation of the health protocols during the Covid-19 pandemic.
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