IBRA to raise Rp 24t in cash this month

IBRA to raise Rp 24t in cash this month

The Jakarta Post, Jakarta

The Indonesian Bank Restructuring Agency (IBRA) said Tuesday
that by the end of the month it will have achieved 88 percent of
its target cash earnings of Rp 27 trillion (about US$2.5 billion)
for the 2001 state budget.

IBRA Chairman I Putu Gede Ary Suta said that the agency will
receive an additional Rp 3.5 trillion later in the month so that
"as of Nov. 29 IBRA will have earned Rp 24 trillion."

According to IBRA's monthly report, as of September, earnings
had reached Rp 24.4 trillion, comprising Rp 19.2 trillion in cash
and Rp 5.2 trillion in bonds.

The September report specified that the largest contributor to
earnings was generated by IBRA's Asset Management Credit (AMC)
division with Rp 9.4 trillion, or 64 percent of the target
earnings.

Other major earners were from the Asset Management Investment
(AMI) unit with Rp 6.72 trillion, and from the IBRA Bank
Restructuring Unit (BRU) with Rp 499 billion.

IBRA has received various assets worth over Rp 600 trillion
from closed banks and former indebted bank owners in the wake of
the 1997 financial crisis.

The agency is required to restructure the assets and sell them
to raise cash to help finance the state budget deficit.