The Asian Development Bank (ADB) has plans to commit $100 million to the government of Indonesia for private sector investments in various infrastructure projects.
“This loan will help mobilize private sector investment to build and finance much-needed infrastructure projects,” said Winfried Wicklein, director for Indonesia at ABD. “ADB assistance will help meet infrastructure financing needs in Indonesia and raise the quality and standards of infrastructure projects.”
According to ABD, Indonesia’s annual investment needs are estimated at more than $70 billion.
The government will channel ADB funds to PT Indonesia Infrastructure Finance (IIF) through state-owned enterprise PT Sarana Multi Infrastruktur (SMI), through the Leveraging Private Infrastructure Investment Project. IIF and SMI are two significant infrastructure financing institutions in Indonesia.
With ADB’s assistance, IIF will provide loans with commercial terms for subprojects that
