Home > News and Opportunities

News and Opportunities

SMI Prepares Project Financing worth Rp 23.27 Trillion

SMI is developing its business scope by providing project consultancy services.

Jakarta - PT Sarana Multi Infrastruktur Persero (SMI) is assisting three infrastructure projects with financing facilities worth Rp 23.27 trillion, with public private partnership (KPS/ PPP) scheme. Until mid-March, SMI has provided financing to the amount of Rp 2.45 trillion.

SMI President Director, Emma Sri Martini, said that the three projects are Umbulan Water Supply System (SPAM) in East Java, Soekarno-Hatta Airport railway (KA) project, and waste management project in the City of Batam. "Presently, the Umbulan SPAM project has entered the tender stage," she said on Sunday (24 March).

The Rp 2.07 trillion-worth project is a drinking water project that utilises the Umbulan spring. The spring has a water discharge rate of up to 4,000 litres per second. In due course, the water will be channelled through a pumping system and transmission pipeline to Pasuruan, Sidoarjo, Surabaya and Gresik.

Meanwhile, the airport railway project is still in the stage of pre-feasibility preparation. The project has a value of approximately Rp 20 trillion. When completed, the train will serve passengers from Soekarno-Hatta Airport to the city centre of Jakarta [and vice versa]. This train will have a high speed and provide premium services.

Meanwhile, the waste management project in Batam is still in the stage of finalising business and transaction designs. The project is valued at approximately Rp 1.2 trillion and it is expected to provide waste management solutions in the city. Waste management covers disposal, collection, transportation, and final disposal of garbage.

Until mid-March, the red-plated [state-owned] company has channelled funding of Rp 2.45 trillion. "Next week, there will be another financial closing for an amount of Rp 200 billion. So, until next week, the total financing commitment will amount to about Rp 2.7 trillion,” said Emma.

Operations Director of SMI, Frans Nembo Sukardi, stated that, of the total funding amount, some Rp 1.5 trillion has been disbursed. The funding is used to build two hydroelectric plant projects that are expected to operate in 2013. The funding is also targeted for roads, bridges, transportation, oil and gas (migas), telecommunications, drinking water and irrigation.

In 2012, SMI’s financing commitment grew 92 percent to Rp 2.2 trillion. Meanwhile, the amount of disbursed credit reached Rp 1.19 trillion, 128 percent the amount in the previous year. Until 15 March, the financing portfolio is still dominated by the electricity sector.

The remaining 21 percent is for distribution and transportation of oil and gas, and another 18 percent for road construction. In addition, eight percent is for drinking water, eight percent for telecommunications, three percent for irrigation, and one percent for transportation.

Currently, SMI has developed its business scope by providing project consultancy (advisory) services. In addition, it also offers project preparation services for infrastructure projects in Indonesia. antara ed: fitria andayani

Development in SMI’s Financing

  Financing Outstanding
2011 Rp 1.15 trillion Growth 190 % Rp 525 billion  Growth 200 %
2012 Rp 2.2 trillion Growth 92 % Rp 1.19 trillion Growth 128 %




[Last update: 2013-04-01 10:54:02]

About LGS Online

A New Cornerstone of Legal Services in Indonesia

Indonesia Under Review

Periodical Review of Indonesian Politics, Economy and Other Public Issues

LGS Online Newsletter

LGS Newsletter on Various Legal and Business Issues

Who's Who in Indonesia

Government Officials and Prominent Business Actors in Indonesia

Important Addresses

Important Addresses You Should Know

LGS Online. Copyright 2012. All Rights Reserved.