INDONESIA – GROWTH TRIANGLE

THE 12th IMT-GT SUMMIT PROGRESS ON DEVELOPMENT IN IMT-GT AND WAY FORWARD

23 JUNE 2019 | BANGKOK, THAILAND DYNAMIC ECONOMIC CORRIDORS

Ranong – Phuket – Aceh Corridor (EC5) The five IMT-GT economic corridors adopted in 2007, has transformed transport networks into viable economic areas linking production, trade, and tourism. Straits of Malacca Corridor (EC2)

After 12 years, an in-depth review and assessment of the five existing IMT-GT economic corridors and the proposed The Extended Songkhla – Penang – Medan Corridor sixth corridor linking Pattani, Yala, and Narathiwat in Thailand (EC1) with Perak and in Malaysia, and Southern Sumatra in Indonesia will be conducted. Pattani – Yala – Narathiwat – Perak – Kelantan – Eastern Provinces of Sumatra (EC6) The economic corridors provide the spatial approach to realise three priority subregional Banda Aceh – Medan – goals of the Vision 2036 through the IB 2017- Pekanbaru – Palembang Melaka – Dumai Corridor 2021; Corridor (EC3) (EC4)

Sustainable, inclusive and Competitive, innovative Sustainable, competitive innovative and advanced and inclusive agriculture sector industrial base cross-border tourism 2 All data compared to 2016 data *IMT figure only IMT-GT AT A GLANCE

15.2% 1.3% INTERNATIONAL TRADE POPULATION 1,064,332 million USD 83,094,621 Tourism persons 32% IMT-GT sharing of total international 6.8% 1.4% inbound tourists to ASEAN countries GDP CURRENT PPP$ LABOR FORCE 1,193,505.48* 40,144,183 persons million USD LAND AREA Poverty Incidence declined to : Unemployment Rate declined to: 2 Indonesia – GT : 11% Indonesia – GT : 5.2% 612,071 km Malaysia – GT : 0.1% Malaysia – GT : 2.8% 32 states and provinces Thailand – GT : 11.8% Thailand – GT : 1.7%

3 IMT-GT REGION PREPARED FOR To be update by the NS INDUSTRY 4.0

ROAD : CIQ : AIRPORT: TRAIN: INLAND CARGO: LRT: US$ 7689M US$ 135.85M US$ 694.83M US$ 33,579M US$ 17.3M US$ 925.93M Total km : Total CIQ : Total airport: Total km : Total port : Total km: XXX XXX XXX XXX XXX XXX

SEAPORT: BRIDGE: INDUSTRIAL CRUISE PORT : INLAND PORT: OTHERS: US$ 1437.71M US$ 253.46M PARK: US$ 130M US$ 33.59M US$ 1836.98M Total port : Total bridge : US$ 250M Total port : Total port : Total : XXX XXX Total park: XXX XXX XXX XXX TOTAL IMT-GT PCP WORTH US$ 47 billion

12 IMT-GT PHYSICAL CONNECTIVITY ENHANCEMENT – LAND CONNECTIVITY DOUBLE TRACK RAIL SURAT THANI – HAT YAI - SONGKHLA

BRIDGE

DOUBLE TRACK RAIL HATYAI – PADANG BESAR HIGHWAY BRIDGE : TAMMALUNG – SATUN WITH PUYU AND BUKIT PUTIR (FS) HAT YAI – SADAO INTERCITY MOTORWAY

SECOND BRIDGE SUNGAI GOLOK –

TRANS SUMATERA TOLL ROAD EAST COAST RAILWAY LINK

MALAYSIA – LIGHT RAIL TRANSIT – HIGH SPEED RAILWAY SOUTH SUMATERA

TRANS SUMATERA RAILWAY PROJECT ON - GOING COMPLETED 5 IMT-GT PHYSICAL CONNECTIVITY ENHANCEMENT – MARITIME & AIR CONNECTIVITY

CRUISE PORT IN KRABI AND KOH SAMUI

THUNGSONG CARGO DISTRIBUTION CENTRE HAT YAI AIPORT

SONGKHLA DEEP SEA PORT BETONG AIRPORT

PERLIS INLAND PORT

KOTA BAHRU AIRPORT

KUALA TANJUNG & BELAWAN PORT

MELAKA DUMAI ECONOMIC TANJUNG PANDAN AIRPORT CORRIDORS MULTIMODA TRANSPORT PROJECT

ON - GOING COMPLETED 6 ENHANCING AIR LINKAGES To be confirmed by the WG

Total IMT-GT Domestic Airport : 53

Total IMT-GT International Airport : 14

Total IMT-GT Route : 28

IMT-GT Weekly Flight Frequency : 573

Designated Points to be connected:

Medan Penang Hat Yai Banda Aceh Alor Setar Pattani Padang Ipoh Narathiwat Silangit Trang Protocol to Amend the MoU between the Governments Tanjung Pandan Nakon Si Thammarat of Indonesia-Malaysia-Thailand on Expansion of Air Melaka Surat Thani Linkages was signed by the IMT-GT Transport Ministers Subang* on 9 November 2018, in Bangkok, Thailand * Only turbo-prop aircraft allowed due to airport restriction 7 TRADE & INVESTMENT OPPORTUNITIES CIQ FACILITIES BORDER CROSS

IMT-GT Rubber City CIQ Sadao 4 special designated areas to support rubber industry worth CIQ Padang Besar 1,576.98 million USD of investment (Thailand)

Songkhla Rubber City CIQ – Sadao

CIQ Padang Besar Kedah Rubber City (Malaysia)

The Chupping Valley Sei Mangkei SEZ Industrial Area

Tanjung Api Api SEZ Sadao Industrial Park

Kedah Science & Technology Park NATURAL RUBBER WORLD SUPPLY

IMT’s contribution to total Tanjung Kelayang SEZ 66% world natural rubber supply 8 GREEN AND CLIMATE RESILIENT IMT-GT Vision 2036 At least 40 cities in IMT-GT implement Green City Action Plan by 2036

Chief Ministers and Governors’ Forum (CMGF) will take lead in the implementation of From Global to Sustainable Urban Regional Action Development Framework

IMT-GT Green Cities Action Plan

IMT-GT Green Cities Initiatives Developing sustainable cities

9 GREEN AND CLIMATE RESILIENT IMT-GT

TOTAL INVESTMENT 16,934 Million USD Year 2019 – 2036 IMPACT Total GHG Emission Total Fuel Saved Total Reduction in Energy Recuction (per annum) (per annum) Consumption (per annum) 2019 - 2036: 2019 - 2036 : 2019 - 2036 : 6 Million 142 Million 4,698 Million tCO2e Liters kWh per annum

The SUDF will enable the development of a green city development in line with the environment pillar of Vision 2036 and enabling the implementation of actions which are coherent with local, provincial, national, regional and international priorities.

10 PEOPLE CENTRIC COLLABORATION

UNIVERSITY NETWORK (UNINET) 601,804* total students 24* total university

VOCATIONAL TRAINING CENTRE (VTC.Net) TBA number of trainees To be updated by the WG 33 number of training centre

HRD & CAPACITY BUILDING PROGRAM 30,616** total Halal technical experts and proffesionals 1,946** total Halal export oriented SMEs 242,274** total certified Halal Manufacturers

Data of 2017-2018 * Data as of 2015 statistics ** Data as of July 2018 11 INSTITUTIONAL DEVELOPMENT

IMT-GT JOINT BUSINESS COUNCIL (JBC) IMT-GT UNIVERSITY NETWORK (UNINET)

CHIEF GOVERNORS AND DIALOGUE PARTNERS MINISTERS’ FORUM (CMGF) IMT-GT Green Council, Green Cities Mayor Council

DEVELOPMENT PARTNERS CENTRE FOR IMT-GT ADB, ICLEI SUBREGIONAL COOPERATION (CIMT)

IMT-GT UNIQUENESS AND STRENGTH 12 IMT-GT AND ADB STRATEGIC COOPERATION

1. Technical support to the IMT-GT Green Cities Initiatives • Established integrated and sustainable transport in Melaka, Penang, Langkawi, Phuket-Krabi and Sabang 2. Established the ASEAN Catalytic Green Finance Facility 3. Review IMT-GT Economic Corridors and Special Economic Zones 4. Enhancing strategic and institutional coordination with ASEAN 5. Developing Tourism Strategic Framework and Action Plan 6. Strengthening capacities of government officials 7. Strengthening private sector participation through JBC

13 IMT-GT AS ASEAN BUILDING-BLOC

ASEAN, BIMP-EAGA, IMT-GT and GMS ACTION PLAN ON ENHANCING COOPERATION 2019- Linking ASEAN Tourism Strategic Plan 2025 with IMT-GT TSAF 2017-2021 ASEAN COMMUNITY The guiding document for enhancing the VISION 2025 coordination and collaboration between ASEAN and the 3 subregions to ensure institutional and policy alignment, project goals and objectives and compatible actions Linking ASEAN Masterplan Connectivity 2025 with IMT-GT PCP 2017-2021 and activities.

The ultimate objective is to synergy and complementarity between ASEAN & subregions ease cooperation & integration programmes.

ASEAN Sustainable Urbanisation Strategy with IMT-GT SUDF 2019-2036 14 WAY FORWARD

1. To accelerate the completion of Physical Connectivity Projects (PCP) to enhance economic and social opportunities along the corridors and connecting areas. 2. To strengthen capacity building programmes to prepare IMT-GT moving forward to the 4th industrial revolution by embracing innovation and technology transfer to enhance capacities of local Government, private sectors and other stakeholders for the benefit of community. 3. To strengthen collaboration to develop Rubber City in IMT-GT sub-region to promote down stream industry development. 4. To promote joint project collaboration with ADB, ASEAN, BIMP-EAGA, and other development partners in areas of IMT-GT cooperation. 5. To implement the MOU on Expansion of Air Linkages in IMT-GT Sub-region. 6. To strengthen roles of local government, universities, and private sectors in IMT-GT cooperation. 7. To accelerate the implementation of Sustainable Urban Development Framework (SUDF) 2019 - 2036 15 ACKNOWLEDGEMENT

16 THANK YOU 23 JUNE 2019 | BANGKOK, THAILAND

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