Speaking to the media after the closing ceremony of the 4th Indonesia-Japan Joint Economic Forum here on Wednesday evening, Rajasa said that the soft loan would be used to fund integrated infrastructure development projects in Metropolitan Priority Areas (MPA) in `Jabodetabek (Jakarta, Bogor, Depok, Tangerang and Bekasi).
"Japan has offered a soft loan of Rp125 trillion to Indonesia but I am still mulling it over, because it is better for us to not have too much debt," Rajasa noted.
According to him, Japan offered the soft loan through Japan`s Official Development Assistance (ODA) for Indonesia to fund the integrated infrastructure development projects in Jabodetabek for 10 years.
Further, he pointed out that Japan was even ready to offer additional funds if Indonesia would apply for them.
"But we will encourage private parties and state enterprises to fund the projects through public-private partnership concept," Rajasa continued.
He said that besides the infrastructure development projects, Japan also expressed an interest in being included in the Inalum project that will return to Indonesia in 2013.
"Japan wants to be included in the Inalum project but we must discuss it first," Rajasa continued.
Japan also wants to be involved in the energy sector for development projects in the new sources of oil and gas in Indonesia.
According to Rajasa, Indonesia would respect the contractual commitment made with Japan in relation to liquefied natural gas (LNG).
"Our need of gas in the future will increase and therefore, we have to prioritize our domestic need and I think Japan understands that," Hatta noted.
(O001/KR-BSR/F001)
Editor: Suryanto
Copyright © ANTARA 2012
