New bank syndicate to finance housing<\/p>\n
JAKARTA (JP): Bank Tabungan Negara (BTN), Bank Papan Sejahtera
\n(BPS) and Bank Dagang dan Industri (BDI) agreed yesterday to form
\na syndication to finance housing projects.<\/p>\n
BTN president Widigdo Sukarman said that the loan syndication
\nwas formed to anticipate the growing demand for housing credits
\nin the coming years.<\/p>\n
"It is also our response to Bank Indonesia Governor Soedradjad
\nDjiwandono's appeal that banks should spread risks," he said
\nfollowing the signing of the agreement.<\/p>\n
The accord, the first loan syndication agreement among local
\nbanks, was signed by Widigdo, BDI president Prayogo Mirhard and
\nBPS president Asmuadji.<\/p>\n
Widigdo said that the loan financing would be mainly directed
\ntoward the development of small and medium size houses in the
\ncountry.<\/p>\n
Widigdo is the former president of BPS, while both Prayogo and
\nAsmuadji are former presidents of BTN.<\/p>\n
"This is not only a project between friends but one of our
\ncommitments in supporting the government's housing development
\nprogram," he said.<\/p>\n
He said that the government expects the construction of, at
\nleast, 500,000 small-size houses, measuring between 18 and 36
\nsquare meters in the next five years.<\/p>\n
"The financing will include credits for land acquisition,
\nhouse construction and ownership licenses," he said.<\/p>\n
Prayogo said BDI, a private bank owned by prominent members of
\nthe Indonesian Chamber of Commerce and Industry (Kadin), will
\nengage only in the financing of housing development.<\/p>\n
Unlike state-owned BTN and BPS, BDI has no significant
\nallocation for house ownership credits, he said.<\/p>\n
Prayogo acknowledged that no targets have been set for both
\nthe value and the number of projects to be jointly financed by
\nthe three banks this year.<\/p>\n
He, however, said that he was optimistic that the joint loan
\nfinancing would not only benefit the participating banks but also
\nhousing developers.<\/p>\n
"Through the loan syndication scheme, a developer no longer
\nneeds to deal with several banks in raising loans. They are
\nrequired only to contact one of them, which acts as the
\narranger," he said.(hen)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/new-bank-syndicate-to-finance-housing-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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