BEI to provide less export loans<\/p>\n
Arya Abhiseka, The Jakarta Post, Jakarta<\/p>\n
Bank Ekspor Indonesia (BEI), a state export financing bank, plans
\nto disburse export loans worth Rp 13.2 trillion (US$1.48 billion)
\nthis year, according to an official.<\/p>\n
BEI president Bambang Hendrajatin said the new loans would
\ninclude up to Rp 4.2 trillion for refinancing, Rp 800 billion for
\nco-financing, Rp 180 billion for post-shipment financing, and Rp
\n285 billion in the form of bank guarantees.<\/p>\n
Speaking at a press conference announcing the bank's 2002
\nfinancial performance, Bambang said that the size of the 2003
\nexport loans would be lower than last year's Rp 19.3 trillion.<\/p>\n
He did not give any reason for the reduction. But analysts say
\nthat the country's export performance would remain weak this year
\ndue to a host of problems both at home and overseas, including
\nthe poor business climate here and the economic slowdown in major
\ntrading partner countries like the U.S. and Japan.<\/p>\n
Bambang said that the bank was forecasting a net profit of Rp
\n293 billion, lower than last year's Rp 341 billion.<\/p>\n
\"Last year's numbers were outstanding and will be difficult to
\nsurpass,\" he said.<\/p>\n
Last year, BEI channeled 17 percent of its export loans to the
\ntextile sector, 16 percent to the timber and plywood sector, 15
\npercent to the agriculture sector, with the remainder being
\ndistributed among other sectors.<\/p>\n
In addition to providing loans for exporters, BEI also offers
\nconsultancy services, which include giving exporters trade
\nfinance training, and advice and information regarding import-
\nexport issues.<\/p>\n
Elsewhere, Bambang said BEI was planning to raise around Rp
\n300 billion by tapping the local debt market again this year.<\/p>\n
The bank, which issued Rp 375 billion of medium-term notes
\n(MTNs) in 2002, was considering whether or not to issue either
\nMTNs or bonds in the first half of the year, he said.<\/p>\n
\"If the bond market is flooded by new bonds we may opt to
\nissue MTNs,\" he added.<\/p>\n
He said the bank had not yet appointed a financial advisor for
\nsuch purposes.<\/p>\n
BEI is one of a handful of local companies planning to raise
\nfunds from the local debt market this year amid declining
\ninterest rates, although most banks are still undercapitalized
\nfor providing new loans.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/bei-to-provide-less-export-loans-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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