State lender Bank Mandiri is preparing a syndicated loan of Rp4 trillion to build five airports in Indonesia in the fourth quarter of 2016, the banks corporate banking director, Royke Tumilaar, said.
Bank Mandiri will lead the syndication of loans to state airport operator PT Angkasapura I which will develop the five airports, Royke stated here on Monday.
“Syndicated loans worth Rp4 trillion will be extended for the purpose. The Kulonprogo airport in Yogyakarta will be among these five airports,” he added.
The loans will be used to build new airports and expand the existing ones. The five airports include Ahmad Yani in Semarang, Syamsudin Noor in Banjarmasin and Kulonprogo in Yogyakarta. Also, the Terminal 3 at the Juanda Airport in Surabaya and Sultan Hasanuddin Airport in Makassar are to be developed with these loans.
Other debtors that will be involved include Sarana Multi Infrastruktur (SMI), PT Bank Central Asia Tbk (BCA), PT Indonesia Infrastructure Finance (IIF) and PT Bank Rakyat Indonesia Tbk (BRI).
Royke further syndicated loans will also be given in the fourth quarter of 2016 for the construction of toll roads in and around Jakarta.
“We hope the process can be started in the fourth quarter of 2016, the construction of a new airport in Kulonprogo also begins by then,” he noted.
Overall, the demand for loans to finance infrastructure development in the second semester of 2016 continued to increase, he noted.
The state bank has also prepared loans worth Rs 20 trillion for the construction of power plants in the fourth quarter, he disclosed.
As per the bank’s target, the credit extended to infrastructure development will grow 20 percent year on year by the end of this year.