IDB TO INVEST US$150 MILLION IN INDONESIA

Jakarta, March 5 (ANTARA) - The Islamic Development Bank (IDB) plans to invest US$150 million in the public sector in Indonesia this year, the bank's regional director, Ahmed S Hariri, said here on Wednesday.

"This year, we will invest US$150 million in the public sector in Indonesia," Hariri said on the sidelines of the 5th World Islamic Economic Forum (WIEF) here on Wednesday.
He said the investments would be made in construction of roads and irrigation works in rural areas, hospitals and colleges.
"All the projects will be carried out by contractors," Hariri said, adding that IDB would invest in the private sector through the Islamic Corporation for Development of the Private Sector (ICD).
ICD this year had allocated around US$132 million for the development of the small- and medium-scale business sector, and financial program offered to private companies.
Chief Executive Officer and General Manager of ICD, Khaleed Al-Aboodi said on the sidelines of the World Islamic Economic Forum here on Tuesday that ICD would allocate US$50 million for small- and medium-scale businesses in Indonesia and offer a financial program to selected companies in Indonesia for projects worth a total of US$82 million.
"The funds to be allocated are part of global funds from ICD for the private sectors around the world. Our objective is to introduce Islam's financial development to ICD member countries," Al-Aboodi said, adding that Indonesia was an important market and the government's initiative in strengthening the infrastructure of Islamic economic principles was very good.
During the 5th WIEF in Jakarta, ICD signed an agreement to lend US$8 million in funds to Mandala Finance.
In addition, ICD had also held discussions with Bank BNI about the formation of a Syariah Bank in Indonesia with a total capital of US$500 million.