Bush agrees to help Indonesian oil and gas sector
Friday, September 21 2001 - 02:17 AM WIB
U.S. president George W Bush has agreed to provide a financial assistance of about US$400 million to help develop Indonesia?s oil and gas sector. The U.S. government has also agreed to buy Indonesia?s goods worth $100 million under the generalized system of preference (GSP) facility, DetikCom reported on Friday.
The aid commitment made during the visit of President Megawati Sukarnoputri in the U.S. was aimed at helping Indonesia to speed up its economic reform including the bank-restructuring program and asset disposals under IBRA.
The financial aid will be provided by Export Import Bank, Overseas Private Investment Corporation (OPIC) and US Trade and Development Agency.
The trade agency will have the responsibility to identify projects, which could receive financing and guarantee from Exim Bank. OPIC will provide financial supports of about $200 million in the form of loan guarantee and insurance for the oil and gas sector.(*)