Japan extends 73.9 billion yen loans for two power plants in W. Java

Japan agreed Friday to provide 73.93 billion yen in loans to Indonesia on Friday to finance two power plant projects in the country, officials said.

The two countries signed diplomatic notes on the assistance for the two projects -- the Muara Karang gas power plant project (55.75 billion yen) and the Muara Tawar gas-fired power plant extension project (18.18 billion yen) in West Java Province.

"By proving assistance in this area (electric power and energy), Japan intends to support efforts for structural reform in the energy sector currently being pushed for and at the same time have Indonesian endeavors to resolve the power crisis, that could become a serious bottleneck for sustainable growth," the Japanese Embassy said in a statement. (*)