BNI Supports Domestic Industry Growth

Jakarta, Oct 9 (ANTARA) - State-run Bank Negara Indonesia (BNI) has vowed to continue to support the growth of the domestic industry, as part of the government`s efforts to meet rising domestic demand. "As a state-owned bank, BNI must follow the Master Plan for the Acceleration and Expansion of Indonesia`s Economic Development (MP3EI). The domestic industry must be able to fulfill the requirements of a growing domestic market, which is the fourth largest in the world," BNI director Gatot M Suwondo said here on Monday. He noted that BNI had already implemented a programme supporting the development of major industries in various regions across the country in line with MP3EI. As a part of its efforts to support MP3EI, the bank is working with PT Hutama Karya, a local constructor in charge of building roads, bridges and buildings. "The BNI-Hutama Karya cooperation potential is immense in light of the master plan, which proposes enhancing inter-regional connectivity through roads and ports," Gatot explained. Meanwhile, Hutama Karya Director Tri Widjajanto Joedosastro said the company was committed to supporting MP3EI by building Medan-Kualanamu roads, which would also be partly funded by the China International Fund Consortium. "We are also working with PT Pelindo I to build a port in Belawan and Kuala Tanjung," he added. PT Hutama Karya received Rp3.95 trillion in loans from BHI in order to improve its competitiveness amid the rapidly growing infrastructure sector. The sector accounts for 10 percent of the national GDP and employs 7-8 million people. Earlier, BNI provided credit facilities to PT Hutama Karya, as part of its efforts to help strengthen the financial condition of state-owned enterprises. First, BNI provided Hutama Karya with a cash loan (working capital loan) of Rp500 billion. Then, it issued a non-cash loan worth Rp3.45 trillion to the company.