Jakarta (ANTARA News) - US Ambassador to Indonesia Scott Marciel and president director of Indonesian Railway Company (PT. KAI) Ignasius Jonan signed an agreement on the provision of a US$600,000 grant for PT KAI.

The grant was intended to support PT KAI`s expansion plan to meet greater rail demand, while ensuring the safety of the rail network, according to press release from the US Embassy here Thursday.

"The United States is pleased to provide the technical assistance support for Indonesia`s National Railway Master Plan as yet another example of the commitment to support Indonesia`s development and to increase trade between our countries made by President Obama and President Yudhoyono when they established the US-Indonesia Comprehensive Partnership," Ambassador Marciel said.

As a result of the initiative under the US-Indonesia Comprehensive Partnership, PT KAI will develop a new strategic plan that includes a review of existing rail transport corridors, recommendations for systems upgrades, and training workshops to build capacity for PT KAI rail operators and managers.

The grant demonstrates the US government`s commitment to support Indonesia`s efforts to improve its transportation infrastructure.

The technical assistance will develop PT KAI staff through five training workshops in operations and maintenance of advanced signaling systems.

The grant will also support PT KAI`s development of specific recommendations to upgrade its rail signaling and telecommunications systems with US support.

These activities will open opportunities for US businesses to develop new partnerships in Indonesia`s dynamic and growing rail industry.

"US companies are eager to work and invest in Indonesia`s growing economic market and this grant will assist in facilitating that relationship," said the USTDA Director Lee Zak. (*)

Editor: Kunto Wibisono
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