The Impact of Economic Policies on Railway Passenger Numbers in Indonesia

Abstract

The railway transportation sector in Indonesia plays a crucial role in connecting regions and facilitating the movement of people and goods. Recent economic policies aimed at enhancing railway services through infrastructure investments, fare subsidies, and regulatory reforms have been implemented to boost usage. This study aims to analyze the impact of these economic policies on the number of railway passengers in Indonesia, focusing on data from 2022 to 2024. The research employs a quantitative approach, utilizing econometric models to examine the relationship between economic policies and railway passenger numbers. Data from the Badan Pusat Statistik (BPS) for the years 2022-2024 and historical data from 1987-2022 are analyzed to identify trends and correlations. The findings indicate a significant increase in railway passengers in both Jabodetabek and Non-Jabodetabek regions from 2022 to 2023. The introduction of fare subsidies and substantial infrastructure investments have been identified as key drivers of this growth. Historical data also show a consistent upward trend in passenger numbers, underscoring the long-term effectiveness of supportive economic policies. The study concludes that well-designed economic policies, including infrastructure investments and fare subsidies, significantly enhance railway usage. These findings provide a strong basis for policymakers to continue and refine such policies to support sustainable transportation and economic development in Indonesia.