Exim Bank eyes 3-4 infra projects in Indonesia

KUALA LUMPUR: Export-Import Bank of Malaysia Bhd (Exim Bank) aims to secure three to four infrastructure projects in Indonesia this year.
Its managing director and CEO Datuk Adissadikin Ali
said the bank is in the middle of project negotiations, in line with
its target to disburse RM5bil in loans this year, mainly driven by
infrastructure project funding in the Asean region.
"We see
Indonesia as a place with a big need for electricity and that is why
apart from normal electricity generation we are looking at renewable
energy production," he said, adding the country has ample natural
resources to meet its rising needs.
"The increase in demand would
be supported by higher loan disbursements, which are targeted to grow
at least 30 per cent annually until 2015," he said after a collaboration
signing ceremony between Exim Bank and PT Senagan Energi here.
The
bank will provide US$24.4mil financing to PT Senagan Energi for the
design, construction, operation and maintenance of a 10MW river
hydropower plant on the Kreung Isep River in Nagan Raya regency in Aceh.
"An
investment of over US$30mil, the Kreung Isep run-of-river hydropower
plant will benefit and contribute to the economic development, recovery
and reconstruction of Aceh Province," he said.
The agreement was signed by Exim Bank Chief Business Officer Md Harris Md Taib and PT Senagan Energi Managing Director Datuk Mohd Zaini Abdullah, witnessed by Adissadikin.
The
project, with a total development cost of US$30.7mil, is scheduled to
begin construction in mid-June this year, with a targeted completion
date within 24 months.
"We expect it to be operational sometime in August 2015," Assadikin added. - Bernama