The Infrastructure Sector Will Get 1 Billion Dollars Loan

INDUSTRY.co.id - Jakarta - Asian Infrastructure Investment Bank (AIIB) meets President Joko Widodo to offer loans with a ceiling of US $ 1 billion for infrastructure projects in Indonesia.

President Joko Widodo (Jokowi) received an Asian Infrastructure Investment Bank (AIIB) delegation at around 8:30 a.m. at the Bogor Presidential Palace on Thursday (08/30/2018)

On that occasion, President Jokowi was accompanied by a number of officials including the Minister of Public Works and Public Housing (Minister of Public Works) Basuki Hadimuljono, State Secretary Pratikno, and District Secretary Pramono Anung.

Minister Basuki Hadimuljono after the meeting said AIIB's arrival to the President was more of a "courtesy call" to explain the part of AIIB member countries.

"AIIB's commitment to promote in the framework of not only economic growth in one country but also investment is through infrastructure. And to be in the productive sector. AIIB promotes economic growth through investments in infrastructure and other productive sectors such as manufacturing. So if Indonesia has the raw material which is directly exported, so this is assisted (by AIIB) so that the exported goods are finished goods, "he said.

Then, said Basuki, in the future AIIB will also offer a commitment of US $ 1 billion to Indonesia until the end of this year for tourism infrastructure projects, airports, to hydropower.

"Commitment awaits us. Until 2018 they prepare so much," he said as quoted by Antara.

For this purpose, his party has submitted funding proposals for a number of projects including three on-going projects, namely the operational improvement and safety project (DOISP II) with a total loan of 125 million dollars, national slump upgrading project with a loan value of 216.5 million US dollars and the strategic irrigation modernization and urgent rehabilitation project (SIMURP) with a total loan of 250 million US dollars.

All projects on going AIIB at the Ministry of PUPR mentioned by Basuki are "co-financing" with the World Bank.

While the incoming projects are proposed in the Rolling Plan AIIB (proposed projects) namely the Bride Development Long Selected Area worth a loan of 355 million US dollars, National Road Improvement in Central Kalimantan worth 250 million US dollars (readiness documents are being prepared with ESP ADB), The Development of Regional Water Supply System of Jatigede worth 140.62 million (documents are in process), and IKK Water Supply Program and Small Water Treatment Plant for Water Scarcity Areas with a loan value of 50 million US dollars.