ADB loan for Indonesia

ADB loan for Indonesia

MANILA (Reuter): The Asian Development Bank (ADB) has approved a US$30.4 million loan to help upland farmers in four provinces of eastern Indonesia raise production, the bank said yesterday.

"The project will address the needs of rainfed farmers and introduce better ways for them to manage (their) resources," the ADB said in a statement, adding that the loan would benefit 50,000 households in Sulawesi.

"New methods of sustainable agriculture will increase productivity, reduce poverty, improve the socioeconomic condition of women and protect the environment," the bank said.

Indonesia's Directorate General of Estates will implement the project, which is scheduled to be completed in 2002.

The loan will come from the bank's Special Funds resources and will be amortized over 35 years, including a grace period of 10 years. It will carry an annual service charge of one percent.