ADB provides 400 mln USD loan to improve Indonesia's infrastructure
MANILA, Nov. 27 (Xinhua) -- The Asian Development Bank (ADB) said Wednesday that it is providing Indonesia a loan of 400 million U.S. dollars to put in place the necessary regulations and infrastructure to drive economic growth.
The Manila-based lender noted that Indonesia's economy has started to slow down due to slower-than-expected recovery of its exports.
"In addition to external economic developments, substantial infrastructure gaps, such as deteriorating roads, congested ports, weak logistics system, and an underdeveloped inter-island transport system, all weigh on growth prospects," the ADB said.
It said the loan will cover the second phase of a program aimed at strengthening regulatory frameworks for transport and logistics, increase investments in Indonesia's transport sector and make its ports efficient.
ADB said it also hopes that the loan will help improve inter- island links between poorer eastern parts of Indonesia with growth centers and markets in the west.