RI, JAPAN SIGN RP8.69 TRILLION LOAN FOR ACCELERATED DEVELOPMENT PROJECTS

Jakarta, March 31 (ANTARA) - The Indonesian and Japanese governments signed a memorandum of understanding on a loan package worth 71.245 billion yen or Rp8.68 trillion for five projects in the country.

The memorandum of understanding was signed by secretary for Asia Pacific and African Affairs of the foreign ministry Kenssy D Ekaningsih and a Japanese embassy official Takio Yamada at the foreign ministry here Tuesday.

The loan from the Japanese government is aimed at enhancing stability and economic development and will be used for building development projects in some regions in the country.

Regions, including Jakarta, Wonogiri, Bandung and some other cities will receive the loan.

The loan will be used to fund human resources development for some projects such as the renovation of some flood handling system in some cities amounting to 7.49 million yen, 6.06 million yen for the handling of sedimentation of the Wonogiri Dam, 5.659 million yen for the improvement of human resources at the Bandung Institute of Technology, 48.150 million yen for the first phase of the Jakarta Mass Rapid Transit and 3.886 million yen for the construction of the Java-Sumatra power transmission line.
The government had also agreed to the repayment of the loan within 20 years with a 10 year grace period.

The Indonesian and Japanese governments agreed to continue improving bilateral cooperation between the two countries.