LRT Project Photo by TheInsiderStories/RK

JAKARTA (TheInsiderStories) – State-owned rail operator PT Kereta Api Indonesia (KAI), the operator of the Greater Jakarta Light Rail Transit (LRT), on Friday, signed loan syndication worth Rp19.25 trillion from 12 banks. The funds will be used to finance the development of the LRT project. “This is the most significant progress as this is the first time, the government project is funded by a syndicated loans,” Coordinating Minister for the Maritime Affairs, which also oversees transportation sector, said after the signing agreement. The loan will mature within 18 years. Luhut noted that the syndicated loan shows that not all government projects are funded by the State Budget. (*)