Hungarian buses may hit city

Hungarian buses may hit city

JAKARTA: Hungarian Icarus buses will likely hit the city
streets as Jakarta Governor Sutiyoso was impressed with a
presentation made by the bus company on Friday.

"They want to invest here. I told my subordinates to study the
matter further," Sutiyoso told reporters at City Hall after
meeting with company executives. He declined to mention the
amount of the investment.

According to city spokesman Muhayat, the purchase of the buses
would be assisted by a financial institution from Hungary, which
would provide an export credit loan.

Muhayat said local bus companies grouped in the Land
Transportation Owners' Association (Organda) could use the loan
to buy the buses.

"The (Icarus) bus company can provide buses for the city's bus
renewal program. Their buses operate in many cities in Europe,"
he said.

The bus renewal program has been stalled as no financial
institutions have been willing to provide loans. The institutions
argued that there was a danger the loans would not be repaid due
to the low bus fares here.

There are currently 9,000 large and medium buses operating in
the city, but 60 percent of these are old buses. -- JP