Indonesia, Russia and China discuss railway project on Kalimantan Island
Indonesia is in talks with investors from Russia and China about building a railway network exceeding 600 km on the island of Kalimantan (Borneo), Indonesian Transport Minister Dudi Purwagandi announced. The plans were reaffirmed at the recent Eastern Economic Forum 2026. The state railway company KAI has already prepared a roadmap for the project, and potential investors are currently conducting a financial assessment. Proposals are expected by the end of the year.
The project is notable because Kalimantan currently lacks a proper railway system — only short colonial‑era narrow‑gauge lines exist. The new infrastructure will need to be built from scratch, including tracks, stations and related facilities. The preliminary investment cost, including a coal port terminal, is estimated at up to $40 billion.
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Indonesia is in talks with investors from Russia and China about building a railway network exceeding 600 km on the island of Kalimantan (Borneo), Indonesian Transport Minister Dudi Purwagandi announced. The plans were reaffirmed at the recent Eastern Economic Forum 2026. The state railway company KAI has already prepared a roadmap for the project, and potential investors are currently conducting a financial assessment. Proposals are expected by the end of the year.
The project is notable because Kalimantan currently lacks a proper railway system — only short colonial‑era narrow‑gauge lines exist. The new infrastructure will need to be built from scratch, including tracks, stations and related facilities. The preliminary investment cost, including a coal port terminal, is estimated at up to $40 billion.
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