Indonesian-Chinese consortium PT Kereta Cepat Indonesia-China (KCIC) has signed a loan agreement worth US$4.5 billion with China Development Bank (CDB).

The agreement was reached following a bilateral meeting between President Joko Widodo and Chinese President Xi Jinping at Great Hall of People yesterday night.

KCIC CEO Hanggoro Budi Wiryawan said that the loan facility is equal to 75 percent of the bullet train project cost of US$6 billion. The remaining fund will be generated from the both Indonesian and Chinese shareholders, he said.

As such all requirements in the loan agreement have been met following the MoU signing, Hanggoro said.

Also attended the MoU signing ceremony was the Coordinating Minister for Maritime Affairs Luhut Binsar Pandjaitan, State Secretariat Minister Pratiko, SOE Minister Rini Soemarno, Transportation Minister Budi Karya Sumadi and Indonesia Investment Board (BKPM) chairman Thomas Lembong.

source: tempo.co