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Japan, South Korea Offer Investment in Infrastructure

2 December 2014 17:00 WIB

TEMPO.CO, Jakarta – Coordinating Economic Minister Sofyan Djalil said Indonesia’s two business partners, Japan and South Korea, had offered investment and funding for multiple projects in the country, such as power plants, double tracks and mass rapid transit.

“They want to fund those projects, but whether or not we want to use their funds, it’s a differen matter. We’re looking for the best and cheapest source,” he said on Monday.

Japan offered open development assistance (ODA) with a considerably low interest rate to Indonesia. “We can borrow in the yen and the interest rate is far below the market price,” said Sofyan.

South Korea, on the other hand, discussed more about its plans to boost its investment. “How to have an enhanced relation with South Korea,” added Sofyan.

Sofyan emphasized more on Japan’s loan offer with a low interest rate for infrastructure projects. “We need to mull utilizing ODA because we want non-binding loans, so that we can buy the best technology with the cheapest price,” said Sofyan.

JAYADI SUPRIADIN




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