West Java Regional Secretary (Sekda) Iwa Karniwa said that the West Java Provincial Government has discussed the planned capital participation of state-owned airport operator PT Angkasa Pura II in PT West Java International Airport (BIJB).
"Recently, the West Java Provincial Government has held a discussion on the planned 25 percent ownership of the state-owned company (BUMN) in PT BIJB," Iwa Karniwa said in Bandung on Monday.
Iwa said that he had asked PT BIJB to discuss the amount of capital participation to be paid annually by AP II.
According to Iwa, the figure of IDR 625 billion will be considered during meetings between PT BIJB, a state regional company (BUMD), and the BUMN, which manages Kertajati Airport in Majalengka.
"Regarding how much per year and what month will be paid, they will have a follow-up meeting," he said.
He added that in addition to finalizing the AP II plan to become a shareholder in BUMD, which is majority owned by the West Java Provincial Government, it also ensures that there is the remaining 11 percent of shares to be offered to foreign investors from Malaysia.
"We also encourage interested parties to target 11 percent of the shares. We are open to the first to enter PT BIJB," he said.
The party has calculated that if converted into rupiah, the 11.6 percent share is equivalent to Rp260 billion-Rp290 billion.
He said that from the two planned capital participation, he hoped that one of them could be realized immediately, considering that PT BIJB needed capital participation funds in the near future.
"So the first to make a deposit to BIJB is due to the need now," said Iwa.
If PT Angkasa Pura II (AP II) has officially injected capital into PT Bandarudara Internasional West Java (PT BIJB) of 25 percent, or Rp. 625 billion, it will be used for airport operations and paying off debts.
Director of PT Bandarudara Internasional West Java (BIJB) Muhamad Singgih said the financial problems of his company involved paying off debts in syndicated Islamic banking, both in terms of principal and margin. In addition, it also pays debts to contractors.
"If there is money coming from any investor, the equity we will use will not only be for operations, but also for reducing the debt burden to contractors," Singgih said.