The Jakarta International Container Terminal (JICT) has signed a US$70-million loan deal from the International Finance Corporation (IFC), the World Bank's investing arm, to partially fund a $160-million expansion plan at Tanjung Priok Port, the Jakarta Post reported.
The soft loan comprises a $30 million loan from IFC's own account, repayable over seven years, and a syndicated loan from HSBC of up to $40 million, repayable over five years.
The JICT will fund the remaining $90 million for the expansion project out of its internal cash flow.
"The JICT has consistently attempted to increase efficiency and expand our capacity," finance director Nano Aryono said after the signing last week.
"Serving as Indonesia's main gateway for the country's trade, the JICT must be prepared to face the expected increase in Indonesia's exports."
The company's expansion began in 2008 and is scheduled to be complete by the end of 2013.
The expansion includes an additional 32 hectares of yard area, 22 additional cranes and other equipment.
The operator will also build parking areas and roads to integrate with the Jakarta Outer Ring Road, currently under construction.
The soft loan comprises a $30 million loan from IFC's own account, repayable over seven years, and a syndicated loan from HSBC of up to $40 million, repayable over five years.
The JICT will fund the remaining $90 million for the expansion project out of its internal cash flow.
"The JICT has consistently attempted to increase efficiency and expand our capacity," finance director Nano Aryono said after the signing last week.
"Serving as Indonesia's main gateway for the country's trade, the JICT must be prepared to face the expected increase in Indonesia's exports."
The company's expansion began in 2008 and is scheduled to be complete by the end of 2013.
The expansion includes an additional 32 hectares of yard area, 22 additional cranes and other equipment.
The operator will also build parking areas and roads to integrate with the Jakarta Outer Ring Road, currently under construction.