No specific plan yet for RI debt: Japan<\/p>\n
TOKYO (Reuters): Japan's Ministry of Finance (MOF) said
\nyesterday it is considering various options to solve the foreign
\ndebt problems of Indonesia's private sector but has not yet
\nchosen one as its official proposal.<\/p>\n
\"We have not come up with a specific measure. We are still
\ndiscussing various options,\" a senior MOF official said.<\/p>\n
But he said that one idea being discussed was that which was
\nreported in the financial daily Nihon Keizai Shimbun on Friday,
\nwhich said Japan had proposed measures to cut about $65 billion
\nin foreign debt of Indonesia's private sector by more than 30
\npercent.<\/p>\n
\"There are many people involved in this discussion...we are
\nstill discussing in a very broad way. The idea (reported in the
\ndaily) was taken up in our discussions, but not in such specific
\nterms,\" he said.<\/p>\n
The daily said that under the plan, foreign banks would forgo
\nsome of their loans and some corporate debt would be converted
\ninto stock in debtor companies. The remaining external debt would
\nbe rescheduled and guaranteed by the Indonesian government.<\/p>\n
The proposal also called for financial assistance already
\npledged by Japan and other countries to be extended to the
\nIndonesian government in order to boost its ability to guarantee
\nloans, it said.<\/p>\n
The idea was proposed to the Indonesian government by a
\nmission sent to Jakarta by the Japanese government in mid-
\nFebruary, the daily said.<\/p>\n
\"We have not reached a specific conclusion. The idea was only
\none alternative among a wide range of options in our
\ndiscussions,\" the official said, but declined to elaborate on
\nwhat other options they have discussed.<\/p>\n
In mid-February, the ministry sent a mission to Indonesia to
\nstudy the country's financial crisis.<\/p>\n
The mission, headed by Tadao Chino, a former vice finance
\nminister for international affairs, said in a report after the
\nvisit that assistance should include funding from the Export-
\nImport Bank of Japan, trade insurance and aid for daily
\nnecessities such as food and medicine.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/no-specific-plan-yet-for-ri-debt-japan-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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