INDRA sets rate at Rp 7,815

JAKARTA (JP): The Indonesia Debt Restructuring Agency (INDRA) set on Wednesday the U.S. dollar exchange rate used to convert domestic corporate debt into rupiah at Rp 7,815 for companies joining the agency's restructuring program in February.

INDRA chairman Sumitro said the rate was based on the moving average market rate during 20 working days in January and monthly inflation rate in that month of 2.97 percent.

On Wednesday, the rupiah traded at 7,450 against the dollar.

INDRA's debt restructuring program offers a voluntary arrangement to debt-laden companies in which their obligations will be extended by eight years and they will receive access to dollars at the locked-in rate that they pay to the agency.

In return, they must resume making loan payments, which almost all Indonesian companies have ceased to do.

Until now, there has been little interest however, in joining the program.