IIF Secures Rp1.3 Trillion in Funding to Accelerate Sustainable Infrastructure
Jakarta (ANTARA) - PT Indonesia Infrastructure Finance (IIF) has obtained a funding facility with a total value of around Rp1.3 trillion from domestic and international financial institutions to expand financing capacity and accelerate sustainable infrastructure development in Indonesia.
The new facility consists of a Rp500 billion Term Loan Facility from PT Bank Mandiri (Persero) Tbk and a facility of US$30 million from FinDev Canada. In addition, IIF has obtained an extension of a Rp300 billion funding facility from PT Bank BNP Paribas Indonesia.
“We appreciate the strong confidence from both domestic and international financial institutions. This facility reflects the growing confidence in Indonesia’s infrastructure sector,” said President Director & CEO of IIF, Rizki Pribadi Hasan, in his statement in Jakarta on Monday.
Rizki added that IIF has financed more than 150 sustainable infrastructure projects over the 16 years of the company’s operations.
With the addition of this funding source, he said IIF is well-positioned to expand its impact, particularly for projects aligned with sustainability and the transition to a low-carbon economy.
Chief Financial Officer of IIF, Eri Wibowo, added that in addition to diversifying funding sources, this facility will optimise IIF’s cost of funds.
This will allow IIF to offer more competitive financing interest rates to clients, thereby supporting the financial viability of their infrastructure projects.
As one of the catalysts for national infrastructure development, IIF has stated its commitment to continue developing products that meet the diverse needs of clients.
He said this includes credit enhancement solutions that enable infrastructure developers to access the domestic capital market through the issuance of bonds or sukuk.
The company also stated that it will continue to expand into strategic sectors, and recently provided loan facilities to support health infrastructure projects.
These various initiatives are in line with IIF’s mandate to mobilise private capital to achieve the Sustainable Development Goals (SDGs) and Indonesia’s Net Zero Emissions target in 2060.