PT Wijaya Karya Tbk (IDX: WIKA) and Indonesian Eximbank will be built the Goree Tower project in Senegal - Photo: WIKA

JAKARTA (TheInsiderStories) – State-owned construction firm PT Wijaya Karya Tbk (IDX: WIKA) and Indonesian Eximbank will be built the Goree Tower project in Senegal with a first phase contract value of 50 million euros (US$55 million) which is part of a total agreement of 250 million euros. This was marked by the signing of a contract with L’Agence De Gestion Du Patrimoine Bati De L’Etat (AGPBE) on Monday (12/02).

WIKA’s Director of Operations Destiawan Soewardjono said the project was a concrete follow-up to business deals between the Senegalese government and WIKA and Indonesia Eximbank at the Indonesia-Africa Infrastructure Dialogue (IAID) event in Bali in August.

“The cooperation that will be realized is one of the milestones of the Indonesian state enterprises in West Africa, where WIKA is indeed capable of working on projects ranging from social housing in Africa to large and prestigious projects such as the Goree Tower Project,” Soewardjono said in a written statement on Tuesday (12/03).

The signing was carried out by AGPBE represented by operations director Yaya Abdoul Kane and WIKA represented by operations director who oversees the foreign division Soewardjono. Also present were witnessing, among others, Indonesian foreign minister Retno Marsudi and Senegal’s minister of national development planning affairs Cheikh Kante.

Soewardjono further explained the prestigious project “mixed-used building area” with full design and build project types was carried out by WIKA as the main contractor with a 24-month implementation period.

The company’s scope of work includes the construction of five-star hotels with 33 floors, sky dining, office buildings, convention centers, and residential apartments.

For the project, WIKA obtained a national interest account (NIA) financing facility using the buyer’s credit scheme via Indonesia Eximbank. Soewardjono said the distribution of these facilities was in line with the government’s strategy to expand Indonesia’s exports to non-traditional countries including Africa.

“Aimed to increase Indonesia’s exports from the buyer side or demand side, this scheme is a tangible form of Indonesia Eximbank as fill the market gap,” he said.

The atmosphere, of course, gives the company room to expand into foreign markets, Soewardjono said. In 2020, the company targets three new countries in the West and East Africa includes Senegal, Ivory Coast and Zanzibar-Tanzania with a capital of $370 million.

Reportedly, the national strategic project master plan of countries in the West African region from 2020-2045 in the infrastructure, energy, telecommunications, and railway sectors will reach $119.8 billion, where it is a great potential for Indonesia to exploring these projects.

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Written by Lexy Nantu, Email: lexy@theinsiderstories.com