Denmark to reschedule RI debts

JAKARTA: Indonesia and Denmark are scheduled to sign an agreement on Wednesday that would allow the rescheduling of the former's US$30.8 million debt, scheduled to mature between April 2002 and December 2003.

A media release said on Tuesday that the amount to be rescheduled comprised $2.8 million in soft loans and $28 million in commercial credits.

The debt rescheduling agreement was a follow-up action from what had been agreed to by the two countries during the third Paris Club meeting in April last year. The Paris Club groups together the country's major sovereign creditors.

"The agreements are very indicative of Denmark's continued strong support of Indonesia's democracy and political and economic reform that are under way," Danish Ambassador to Indonesia Geert A. Andersen, said in the release.

Andersen and director general for state budget at the Ministry of Finance Anshari Ritonga are expected to sign the agreement. -- JP