$200m aid for eastern regions

JAKARTA: The government will receive US$200 million in fresh loans from the World Bank to improve highways in eastern Indonesia to accelerate development there, an official said on Wednesday.

Under the Eastern Indonesia Region Transportation Project Phase I (EIRTP I), the Ministry of Resettlement and Regional Infrastructure will upgrade 1,200 kilometers of highways and 5,600 meters of bridges in the next five years in 15 provinces.

Irian Jaya, Maluku and North Maluku will be among the provinces to receive the money.

The ministry will sign the loan agreement in January 2002 and the project will kick off two months later.

"The project shows that the government has the political will to focus on the eastern region," W. Hendrianto N, director general of regional infrastructure, told the media. -- JP