CDB to Disburse Fund for Bullet Train Project

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  • TEMPO.CO, Jakarta - China Development Bank (CDB) will disburse fund for Jakarta-Bandung bullet train project this month.

    Human resources and system development director of state-owned construction company Wijaya Karya (WIKA) Novel Arsyad said yesterday, May 10, that the fund is expected to be disbursed in the second or third week of the month.

    Novel said that the CBD loan will be disbursed in three installments. The first will amount to US$1 billion. He added that the dates and amounts of the next installments are not yet known.

    He said that some problems encountered in the project, including the land clearing of Halim Perdanakusuma area, are already solved.

    CBD had promised to provide US$5.2 billion (Rp69.4 trillion) loan to Chinese-Indonesian consortium Kereta Cepat Indonesia Cina (KCIC). The CDB has set some requirements for the loan disbursement, including the signing of engineering, procurement and construction contract and the establishment of regional spatial planning (RTRW) to solve land clearing issue in the project site.