Monorail Financing Reviewed
Monday, 06 August, 2007 | 15:42 WIB

Tempo Interactive, Jakarta: The plan of the banking sector to finance the monorail development project apparently has been delayed again.

Sudaryanto Sudargo, PT Bank Rakyat Indonesia Tbk.'s Director, said that so far banks are still awaiting the commitment of the Jakarta Provincial Government.

“If the regional government is also involved in financing this project, we will disburse the funds,” he said.

Earlier, Sudaryanto said that around 70 percent of the project development funds will be derived from domestic financing.

This is because the Dubai Islamic Bank cancelled its disbursement of funds.

The investment needed to finance this project totals US$480 million.

Around 30 percent, or US$144 million, will come from equity and the remaining US$340 million from bank loans.

From the equity totaling US$144 million, 10 percent is from region-owned enterprises.

The remaining 41 percent is from state-owned enterprises (SOEs) and 40 percent from private sector.

In the beginning, BRI planned to be the leader of monorail project credit syndicate.

The credit to be disbursed by the SOE amounted to US$120 million with nine-year term.

BRI also invited Bank Mandiri to finance monorail development.

However, the plan cannot be realized yet.

Sudaryanto said that so far there had not been any internal agreement with Jakarta Provincial Government about the project financing plan.

Abdul Rachman, Bank Mandiri's Director, also said that the bank he leads was still awaiting the result of three security companies' evaluation into the project feasible.

The three security companies are Bahana Securities, Danareksa Securities and Mandiri Securities.

“We cannot decide as long as the evaluation result is not completed,” he said.

He also refused to name the amount of funds to be disbursed.

“If (the project) is feasible, we will increase the
credit,” he said.

However, up to the first semester of this year, the amount of credit that Bank Mandiri has disbursed already succeeded Rp10 trillion.

The credit ceiling in the first semester is around Rp11 trillion.

SURYANI IKA SARI
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