Developing a Guarantee Instrument to Catalyze Renewable Energy Investment in Indonesia

This analysis is part of CPI’s research program, in which CPI and PT Sarana Multi Infrastruktur (Persero) explore the potential of developing a green investment bank model in Indonesia.
– The basic role of a green bank is to identify barriers to investment in green infrastructure and develop solutions to address these barriers. Green banks are typically capitalized with public money and engage in multiple activities, including concessional lending as well as risk mitigation instruments.
– The overall objective of the program is to help development financial institutions, policymakers, and donors to understand the opportunities and challenges of applying the green investment bank model in the country.
– This analysis specifically looks at the potential of developing a guarantee instrument to help catalyze renewable energy investment in Indonesia.