IFC and Linknet Partner to Expand Fixed Broadband Connectivity Across Indonesia and Create Higher-quality Jobs

Jakarta, Indonesia, March 5, 2026 - More households and businesses in Indonesia will gain access to reliable, high-speed fixed broadband as PT Link Net Tbk (Linknet), a leading wholesale fixed broadband infrastructure provider, expands its fiber network with support from the International Finance Corporation (IFC). The investment is expected to unlock new economic opportunities by advancing digital inclusion, fostering innovation, and creating higher-quality jobs as Indonesia strengthens its digital economy.

Under this new partnership, IFC, a member of the World Bank Group focused on the private sector, is providing a financing package of up to a $350 million in Indonesian Rupiah equivalent to support Linknet nationwide expansion of high-speed broadband infrastructure. The package includes an IFC own-account loan of up to $200 million, marking IFC's first investment in the Indonesia's fixed broadband infrastructure sector and underscoring its commitment to expanding digital connectivity in emerging markets.

In addition, IFC acted as Mandated Lead Arranger for the transaction, mobilizing $150 million from Asian Development Bank (ADB) alongside its own financing. Together, this financing will support the rollout of high-speed fiber connectivity, particularly in underserved secondary and tertiary cities, where access to quality broadband connectivity remains limited.

"Our partnership with IFC represents a significant step forward in expanding inclusive connectivity across Indonesia, while ensuring sustainability at the core of our growth strategy, a concrete reflection of our purpose, 'We LINK the nation for better lives." said Kanishka Gayan Wickrama, Linknet's Chief Executive Officer. "Beyond growth, the financing will also support network upgrades, which will enhance energy efficiency and strengthen the resilience of our infrastructure."

The initiative is also expected to enhance efficiency in the telecommunications sectors through the continued transition from older copper-based hybrid fiber-coaxial (HFC) connections to modern fiber networks. Fiber-optic cable typically consumes less energy during data transmission than traditional copper-based cables and offers greater reliability, supporting both digital transformation. Although Indonesia's telecommunications sector is among the fastest growing in Asia-Pacific, fixed broadband penetration still lags behind regional peers, with only around 23 percent penetration, compared to a regional average of approximately 52 percent. Expanding high-speed fiber broadband is therefore crucial to closing this gap.

"Expanding access to reliable, high-speed connectivity is essential for unlocking economic opportunities, better jobs, and innovation for Indonesia's growth." said Euan Marshall, IFC's Country Manager for Indonesia. "By working with Linknet, we are supporting the scale-up of modern broadband infrastructure that helps bridge connectivity gaps and enables business to participate in, and grow with, the global digital economy."

Linknet, a subsidiary of Axiata Group Berhad, is one of Indonesia's leading fiber infrastructure companies and continues to expand its footprint nationwide to meet growing demand for high-quality fixed broadband services.