U.S. announces large $6 billion initiative for development in Indonesia
Jakarta, Indonesia (source: flickr/ yohanes budiyanto, creative commons)
Alexander Richter
19 Mar 2013
The U.S. State Department is launching a $6 billion initiative to promote and support geothermal development in Indonesia and to help U.S. companies to export goods and services to the country.
Reported by various sources in the U.S., the State Department has announced a new $6 billion iniitiative to promote and finance the development of 12 GW of geothermal resources in Indonesia.
The reports describe that the money is planned to come from various sources, among them the Export-Import Bank of the U.S., Overseas Private Investment Corp. (OPIC), the U.S. Trade and Development Agency (USTDA) and the State Department.
Like other countries through their financial support, the U.S. aims to export U.S. goods and services to the country, develop resources in Sumatra, and potentially provide power transmission to Singapore.
For some time now the U.S. have shown an increasing focus on the region and the underlying policy rationale now is to overcome the continuing difficult foreign direct investment climate in Indonesia.
The State Department is now working on receiving support from the private sector for the initiative and seeks companies for a potential mission to Southeast Asia.
A full announcement on the effort is expected to be provided by Foreign Secretary Kerry this September at the ASEAN Summit in Brunei.
Source: National Law Review
