State-owned Bank Mandiri is lending Rp1.5 trillion to Indonesia Infrastructure Finance (IIF) to help the non-bank financial institution support the acceleration of infrastructure development in Indonesia.
IIF president director Arisudono Soerono said the loan will used to finance several infrastructure projects that are commercially viable and feasible.
Bank Mandiri also gives IIF a treasury line facility with US$50 million limit to hedge the company’s transactions using foreign currencies.
The bilateral term loan is a non-revolving credit with that will mature in three year.
Bank Mandiri’s government & institutional director Kartini Sally said this is the second time the bank provided lending to IIF. In 2015, Mandiri disbursed Rp1 trillion loan to help IIF fast-track the completion of infrastructure projects in Indonesia.