Indonesia gets US$600m loans for development

INDONESIA: Indonesia and South Korea signed and exchanged a document on a US$600 million bilateral framework agreement on Monday at the Foreign Ministry.

The document was signed by the ministry’s Director General for Asian, Pacific and African Affairs Hamzah Thayeb and South Korean Ambassador Kim Ho-young, the ministry said Monday in a press statement.

Under the Economic Development Cooperation Fund framework, the agreement will provide loans from South Korea to Indonesia to help finance projects, mainly in the fields of information and communication technology and infrastructure, as well as fund “green” projects, between 2010 and 2013, it said.

The funding scheme is aimed at “supporting” economic stability in Indonesia, it said. South Korea previously committed to a $149.9 million funding scheme for Indonesia’s development projects from 2007 to 2009. — JP