Finance Minister says AIIB to open representative office in Indonesia

Minister of Finance Purbaya Yudhi Sadewa has announced that the Asian Infrastructure Investment Bank (AIIB) plans to open a representative office in Indonesia. The government will prepare the land and building for the AIIB office. This commitment is one of the results of Purbaya’s working visit to China from 16-19 June 2026. During the trip, the government also obtained a project financing commitment worth USD 17 billion from the AIIB. “AIIB also wants to open a branch office in Indonesia. I calculated that if they give us a loan of USD 17 billion, we can certainly give them a branch office. We promised them we would provide land and a building for them to use, because I also have unused assets,” Purbaya said during a media briefing at his office in Jakarta on Friday. He further explained that the USD 17 billion funding commitment is not debt in the general sense, but rather project financing aimed at supporting productive projects in Indonesia. The financing scheme can be utilised in stages until 2029, depending on the readiness of projects proposed by the government. “So actually, I would say this is like someone investing here, we are repeating investment for productive projects but with lower interest rates than ordinary investors and the goods become ours. It is available and can be drawn down until 2029,” he stated. During his visit to China, Purbaya not only secured the financing commitment from AIIB. He also held a series of meetings with regulators and investors to finalise plans for the issuance of renminbi-denominated bonds, known as Panda Bonds. He said Chinese investor interest in the Panda Bonds was far higher than expected. Therefore, the government is open to the possibility of increasing the issuance target above the initial plan of USD 1 billion.