THE HON JOSH FRYDENBERG MP
H. E. MINISTER SRI MULYANI INDRAWATI
Indonesian Minister of Finance
JOINT MEDIA RELEASE
12 November 2020
BILATERAL LOAN TO INDONESIA
On 12 November 2020, the Australian Treasurer, the Hon Josh Frydenberg MP, and Her Excellency Dr Sri Mulyani Indrawati, Indonesian Minister of Finance, announced a Loan between Australia and Indonesia.
Recognising the Comprehensive Strategic Partnership and the strong friendship between Australia and Indonesia, the Australian Government will provide an AUD1.5 billion loan to Indonesia, repayable over 15 years. This loan supports the Asian Development Bank-led COVID-19 Active Response and Expenditure Support Program.
COVID-19 poses an unprecedented challenge to the Indo-Pacific and the world. Both our nations have been affected by this extraordinary crisis as containment measures and uncertainty have depressed global economic activity and international trade.
The Loan will be used to support Indonesia’s budget financing for 2020 which is focused on managing the COVID-19 crisis and economic recovery programmes.
The provision of the Australian Government loan to Indonesia reflects the extraordinary times which we all must face together and is in recognition of Indonesia’s record of sound fiscal management which has allowed the Government to respond to COVID-19 health crisis.
Indonesia’s recovery and ongoing prosperity is critical to the stability and security of our region.
The loan builds on our highly valued economic relationship and strong record of bilateral cooperation. Australia and Indonesia are neighbours, friends and Comprehensive Strategic Partners, and we are committed to supporting one another through this crisis.
Our governments will continue to engage and share our experiences as we move towards economic recovery in the region.