BAKN Urges KAI to Prepare Contingency Plan Should KCIC Debt Transfer Be Delayed

The Chairman of the State Financial Accountability Agency (BAKN) of the Indonesian House of Representatives, Andreas Eddy Susetyo, has requested that the government prepare a contingency plan for the debt transfer process of PT Kereta Cepat Indonesia China (KCIC), following significant potential delays to the 15 September target. This request was made following a meeting held by BAKN DPR RI to discuss the resolution of KCIC’s debt.

“In this matter, BAKN emphasises that a Plan B or contingency plan must be prepared in the event that the debt takeover process is not completed, even though the KCIC debt maturity is already underway, so that this does not burden the finances of PT Kerable Api Indonesia,” said Andreas during an interview with Parlementaria following a specific working visit by BAKN DPR RI to PT KAI in Bandung on Thursday.

He explained that the ongoing due diligence process is estimated to be difficult to complete according to the planned target. Therefore, a contingency scenario must be prepared to ensure that the finances of PT Kereta Api Indonesia (KAI) are not disrupted if the completion deadline cannot be executed on time.

“This includes matters that are still in the process of resolution. They are currently in the process because it involves due diligence. Therefore, we see that there is a significant potential that the 15 September target will not be met,” said the PDI-Perjuangan politician.

On the same occasion, Andreas also emphasised that KAI, PT Bukit Asam, Danantara, and the State-Owned Enterprise (SOE) Management Agency must follow up on recurring findings from the Audit Board of Indonesia (BPK). He requested that Danantara, as the shareholder of KAI and Bukit Asam, assist in supervising the resolution of these issues alongside the SOE Management Agency.

“As Danantara is now the shareholder, it is the obligation of the shareholder to maximise and optimise the companies under their management, ensuring not only optimal results but also good corporate governance,” he added.

BAKN will continue to monitor the KCIC debt resolution process until completion to ensure that no additional burdens are placed on the state finances or the relevant SOEs.