Indonesia road project financing signed

A financing deal has been signed for a portion of a major highway project in Indonesia. The US$91 million loan package has been signed between Indonesian infrastructure financing company, Sarana Multi Infrastrucktur (SMI), and contractor, Hutama Karya. This will help pay for work on the 22km Palembang-Indrayala stretch of the 2,700km Trans Sumatra 2,700km highway project. The funds will be made available in three tranches. Funding from state sources will provide the remaining funds required for the Palemban
November 23, 2015 Read time: 1 min
A financing deal has been signed for a portion of a major highway project in Indonesia. The US$91 million loan package has been signed between Indonesian infrastructure financing company, Sarana Multi Infrastrucktur (SMI), and contractor, 5206 Hutama Karya. This will help pay for work on the 22km Palembang-Indrayala stretch of the 2,700km Trans Sumatra 2,700km highway project. The funds will be made available in three tranches. Funding from state sources will provide the remaining funds required for the Palembang-Indralaya stretch of highway.

Meanwhile, Hutama Karya has included four new segments for the Trans Sumatra project which comprise of Palembang-Tanjung Api-Api, Terbanggi-Besar-Kayu Agung and Tebing-Tinggi-Kisaran. Plans are also being set to provide the funding for the Terbanggi Besar-Bakauheni stretch prior to the start of 2016.
Finance & Funding

For more information on companies in this article

Related Content

  • Polish road projects commencing shortly
    November 19, 2015
    Two major road projects are planned for Poland. Spanish construction firm Dragados intends to start work building a 25km ring road around the Polish city of Radom in the second half of 2016. The road will cost over €171.67 million to construct and will be completed in 2018. The work includes building four bridges, four junctions and two pedestrian bridges. The new ring road will form a part of the S7 road and reduce journey time between Krakow, Kielce and Warsaw.
    Read More
  • Additional Romania contract for PORR
    September 16, 2021
    Austrian contractor PORR has won an additional Romanian contract, while other projects are also underway in the country.
    Read More
  • Interest in investment in Indonesian infrastructure
    May 5, 2015
    Strong interest in investment in Indonesian infrastructure is being reported. Work is starting on a series of major infrastructure projects. The groundbreaking for the trans-Sumatra toll road has been carried out. The toll road will link Aceh to Lampung and is one of a series of major projects commencing in the country. The Indonesian Government has increased its allocation for capital expenditure from US$12.03 billion to $22.36 billion for 2015. Infrastructure development in 2015 is expected to fuel the co
    Read More
  • Highways expansion project in Los Angeles area
    August 9, 2017
    A loan worth US$629 million will help pay for a highway upgrade for the I-405 route in Orange County, California. The stretch of I-405 connects with Costa Mesa, on the southern side of Los Angeles. The federal loan is being provided by the US Department of Transportation to the Orange County Transportation Authority (OCTA). The work is to upgrade a 22.4km stretch of I-405 between its junction with the I-605 Interstate, close to Rossmoor, and the SR 73 route at Costa Mesa, which connects with the nearby John
    Read More

Highlighted Content