Provision of Japanese ODA Loan to Indonesia (Climate Change Program Loan)
August 28, 2008
- The Government of Japan has decided to provide a Japanese ODA loan (Climate Change Program Loan) of up to30,768 million yen in total to the Government of the Republic of Indonesia, as the first case of Climate Change-related ODA loan based on the “Cool Earth Partnership”, in order to support Indonesia’s efforts to address climate change issues under its National Action Plan Addressing Climate Change. Notes to this effect were exchanged on August 28 (Thu) in Tokyo between Mr. Masahiko Koumura, Minister for Foreign Affairs of Japan, and H.E. Dr. N. Hassan Wirajuda, Minister for Foreign Affairs of the Republic of Indonesia.
The project and its amount: Climate Change Program Loan up to 30,768 million yen
- Outline of the Project
By supporting Indonesia’s measures against climate change through policy dialogue, this project will contribute to (1) the mitigation of global warming by carbon absorption and emission control, (2) strengthening adaptability to bad effects of climate change, and (3) responding to cross-sectoral issues of climate change.
The targeted outcomes of this loan are as attached. In the future, Japan will monitor the progress toward the goal regularly and provide necessary policy recommendations to the Government of Indonesia.
- Terms and conditions of the loan
(1) Interest rate: 0.15% per annum
(2) Repayment period: 15 years (including a five-year grace period)
(3) Procurement method: general untied