Astra, Pertamina set up taxi firm in East Timor

Astra, Pertamina set up taxi firm in East Timor

JAKARTA (JP): PT Astra International and the state-owned oil company Pertamina signed an agreement here yesterday with an East Timor cooperative, which will operate a taxi business in the province.

Under the agreement, Pertamina will provide soft loans of up to Rp 1.2 billion (US$519,000) carrying an annual interest rate of two percent for a taxi cooperative unit affiliated to the East Timor Civil Servant Cooperative.

The agreement also requires Astra to provide up to 50 taxi cabs, which will be sold to members of the taxi cooperative under a credit arrangement. Astra will also provide management assistance and technical training to the taxi cooperative.

Under the agreement, the East Timor Civil Servant Cooperative will be responsible for selecting human resources, providing workshop facilities, processing investment licenses, helping organization and facilitating the entrepreneurship of the taxi cooperative.

Yesterday's agreement was signed by Pertamina's director for general affairs, Baharuddin (second right), Astra director Rini M.S. Soewandi (right) and chairman of the East Timor Civil Servant Cooperative Herminio da Silva da Costa (third right). The signing ceremony was attended by chairman of the Federation of Civil Servant Cooperatives Sumitro Djojohadikusumo (third left), Minister of Cooperatives and Small Enterprises Subiakto Tjakrawerdaya (left) and East Timor Governor Abilio Jose Osorio Soares (center).

Rini said that Astra will also provide repair workshop and regular supervision and evaluation.

She added that the credits will be revolved among members of the taxi cooperative, so that more people in the province will be able to own taxi cabs. (kod)