ADB lends RI $337m

ADB lends RI $337m

MANILA (AFP): The Asian Development Bank (ADB) has approved a 337-million-dollar loan and a 900,000-dollar technical assistance grant for a power project in Indonesia, the bank said yesterday.

The Philippine-based ADB said the money will partly finance the expansion of the transmission and distribution system of the National Electricity Corp. (NEC) by expanding its 275 kilovolt and 150 kilovolt network.

Japan's Overseas Economic Cooperation Fund and the NEC will co-finance the project which has a total cost of $734 million, ADB said in a statement.

The loan, from the ADB's ordinary capital resources, is payable in 20 years including a five-year grace. Interest will be determined in accordance with the bank's pool-based variable lending for U.S dollar loans which is now pegged at 6.91 percent.