The plan of the Indonesian Government is to transform Batam into the country’s digital powerhouse.
The chairman of BP Batam stated that the island, which has been the “growth engine” for Indonesia, is compatible with Singapore.
Batam’s digital service sector is growing fast. Singapore entrepreneurs use these services due to lower operating costs and proximity to the Republic. Other companies use Batam as a launch pad to Indonesia.
However, challenges remain. Critics question whether Batam can triumph over regional competitors and resolve longstanding issues in the decade-old free trade zone such as red tape. Infrastructure is also a problem.
To resolve these, BP Batam plans for a “high-tech and eco-green” Batam. Developments are done to the airport and a light rail transit linking Batam to neighboring Bintan island is envisioned.
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Source: The Straits Times, 19 June 2017