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.
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