Italy reschedules RI debts

JAKARTA (JP): Italy has agreed to reschedule the repayment of Indonesia's debt to the country for the period of Aug. 6, 1998, to March 31, 2000.

A bilateral debt agreement was signed here on Friday by Italian Ambassador to Indonesia Carlo Marsili and director general for the state budget of the Ministry of Finance Anshari Ritonga.

The Italian ambassador said the debt rescheduling agreement followed a memorandum of understanding agreement signed by members of the Group of Participating Creditor Countries, better known as the Paris Club in Paris on Sept. 23.

The agreement covers about US$16 million of official loans provided by the Italian government.

The government's overseas debt in the 1999/2000 fiscal year ending March 2000 is estimated to reach US$71.9 billion, according to the National Development Planning Board (Bappenas).

The foreign debt includes a $10.3 billion loan from the International Monetary Fund.(hen)