IFC to provide up to $350 million financing for Linknet broadband expansion

By Romel S. Gurky

International Finance Corporation will provide financing of up to $350 million to support the expansion of fixed broadband infrastructure by PT Link Net Tbk (IDX: LINK) across Indonesia.

The financing package includes an IFC loan of up to $200 million and an additional $150 million mobilized from the Asian Development Bank, with IFC acting as mandated lead arranger.

The funding will support the rollout of high-speed fiber broadband infrastructure nationwide, particularly in secondary and tertiary cities where access to quality connectivity remains limited.

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Chief executive officer Kanishka Gayan Wickrama said the partnership will help expand inclusive connectivity and support network upgrades aimed at improving energy efficiency and infrastructure resilience.

IFC country manager for Indonesia Euan Marshall said the investment is intended to expand reliable high-speed internet access and support economic opportunities and job creation.

Indonesia’s fixed broadband penetration stands at about 23%, below the regional average of around 52%, highlighting the need for further expansion of fiber networks.

PT Link Net Tbk, founded in 2000, provides connectivity to more than 4.6 million homes across 70 cities and operates as a subsidiary of Malaysian firm Axiata Group Berhad.

Editing by Alexander Ginting