IDB Providing $3.3b to Help Indonesia Hit Growth Target
Wednesday, May 11, 2011
The Islamic Development Bank on Wednesday agreed to provide as much as $3.3 billion of financing through 2014 to speed Indonesia’s economic growth.
“We are focusing on poverty, health and infrastructure. In line with IDB’s strategic priorities, we are committing to provide soft loans for its member, including Indonesia,” bank president Ahmad Mohammed Ali said.
The Saudi Arabia-based bank’s Member Countries Partnership Strategy program helps its 56-member states raise living standards and improve the investment climate and human resources. The financing is Shariah compliant.
Some 34.7 percent of the funding to Indonesia is earmarked for the private sector, including small- to mid-sized businesses, followed by infrastructure at 26.3 percent, education and human resources at 19.8 percent and the rest for agriculture and rural development. Around two-thirds of the financing is targeted at Sumatra, Kalimantan and Sulawesi.