Business

RI to get $1b standby loan

The Indonesian government is in finalizing an agreement to get a US$1 billion (Rp 12 trillion) standby loan from the Islamic Development Bank (IDB) and the Franch government to help it weather the storm of the global financial crisis.

Hartadi A. Sarwono, deputy governor of Bank Indonesia (BI), said that his office was negotiating the agreement in which Indonesia is expecting to receive $500 million from the IDB and $500 million from the French government.

“Prior to the agreement, the government received $5.5 billion,” he told tempointeraktif.com.

He said that the country's deficit reserves would likely to go down from $51.63 billion to $48.79 billion by the end of the year due to the decreasing value of the Rupiah.

“BI will continue its effort to keep our currency stabile. Thus far, our reserves, which currently stand at $53.7 billion, are enough to keep the rupiahs value on the market,” he said. (ewd)

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