Press Releases
Signing and Exchange of Notes Concerning Two Yen Loan projects to the Republic of Indonesia
On December 24, in Jakarta, the capital of the Republic of Indonesia, Mr. Yasushi Masaki, Ambassador Extraordinary and Plenipotentiary of Japan to the Republic of Indonesia, and Mr. Abdul Kadir Jailani, Director General of Asia-Pacific and African Affairs, Ministry of Foreign Affairs of the Republic of Indonesia, signed and exchanged notes concerning two Yen loan [see Note] projects for up to 90.456 billion yen in total.
- Outline of the Projects
- Strengthening Apparatus Management and Development Project (up to 7.048 billion yen)
This project will boost the proper management and capacity building of administrative officials in Indonesia and improve the organizational capacity of the country's central and local governments, thereby contributing to the achievement of development priority goals and the development of ongoing human resource exchanges between Japan and Indonesia. - Patimban Port Development Project (III) (up to 83.408 billion yen)
This project aims to strengthen the logistics function of the metropolitan area by constructing a new port (container terminal, automobile terminal, etc.) in Patimban in the eastern part of the Jakarta metropolitan area, thereby contributing to further economic growth in Indonesia by improving the investment environment.
- Strengthening Apparatus Management and Development Project (up to 7.048 billion yen)
- Loan terms
- 1. (1)
a- Interest rate: 1.45% per annum (0.2% per annum for the consulting services portion)
b- Repayment period: 25 years (including a 7-year grace period)
c- Procurement Terms: Untied - 1. (2)
a- Interest rate: 0.3% per annum (0.2% per annum for the consulting services portion)
b- Repayment period: 40 years (including a 10-year grace period)
c- Procurement Terms: Tied
- 1. (1)
Cooperation in the form of loans to provide developing countries with loans under moderate conditions (low interest rates and long repayment periods) to finance the construction of infrastructure and other necessary funds. For developing countries, since the funds are subject to repayment to Japan, it is expected to lead to effective utilization and selfsustaining development.
The Republic of Indonesia has an area of approximately 1.92 million square kilometers (about five times that of Japan), a population of about 279 million people (Statistics Indonesia, 2023), and a gross national income (GNI) per capita of 4,870 USD (World Bank, 2023).