ASIATODAY.ID, JAKARTA — The Asian Development Bank (ADB) has approved a $150 million loan to PT Link Net Tbk (Linknet) to accelerate the expansion of digital infrastructure and fiber broadband networks across Indonesia, a move expected to strengthen the country’s rapidly growing digital economy.
The financing is aimed at improving broadband quality while helping Linknet expand its nationwide fiber-to-the-home (FTTH) network—high-speed internet delivered directly to households through fiber-optic cables.
“This vital deal reinforces ADB’s role as a trusted partner in Indonesia’s digital development agenda,” said ADB Country Director for Indonesia Bobur Alimov on March 10, 2026.
“By supporting Linknet’s expansion of digital infrastructure services, we aim to promote inclusive and equitable access while unlocking the country’s digital economy potential, projected to reach $366 billion by 2030.”
Expanding High-Speed Internet Access
The investment will help communities and businesses gain broader access to digital tools by expanding fiber infrastructure and strengthening Linknet’s open-access wholesale model, which allows multiple internet service providers to use shared network infrastructure.
Industry observers say this approach could significantly improve: broadband service quality, productivity of digital businesses, connectivity for micro, small, and medium-sized enterprises (MSMEs), and participation in Indonesia’s digital economy.
The project will also contribute to Indonesia’s climate commitments, as upgraded network assets and modern technologies are expected to operate with greater energy efficiency.
Fixed Broadband Still Lags Behind
Although Indonesia’s mobile broadband sector has expanded rapidly since 2015, adoption and affordability of fixed broadband services, particularly fiber networks, still lag behind several neighboring countries in Southeast Asia.
To address the gap, the government is currently developing sector-specific policies aimed at: simplifying permit procedures for fiber deployment, standardizing fee structures, fostering a more competitive environment among broadband providers.
Linknet’s Strategic Shift
Linknet’s Chief Executive Officer, Kanishka Gayan Wickrama, said the partnership with ADB will support the company’s transition toward a stronger business-to-business (B2B) strategy.
“We are excited to partner with ADB on this important project to advance Indonesia’s digital economy,” Wickrama said.
“The financing will allow us to deliver faster, more cost-efficient services while securing longer-term funding aligned with our strategic transformation.”
Linknet is one of Indonesia’s leading broadband providers and is majority owned by Axiata Group Berhad, a major Asian telecommunications and digital services company.
As Indonesia pushes to become Southeast Asia’s largest digital economy, the expansion of fiber infrastructure is increasingly viewed as a critical backbone for digital commerce, fintech, cloud services, and next-generation connectivity across the archipelago. (AT Network)
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