Supporting agreements with the international institutions
program with the IMF under the Extended Fund Facility approved on February 04, 2000
Total external debt of the country
$75 900 million as of November 30, 2001
$41 357 million of which being due to Paris Club as of January 31, 2002
Amounts treated
Categories of debt treated
Treatment of maturities falling due from April 01, 2002 up to December 31, 2003
Repayment profile
Treatment under Houston terms
- repayment of non ODA credits over 18 years, with 5 years of grace
- repayment of ODA credits over 20 years with 10 years of grace
Specific provisions
Possibility to conduct debt swaps
On a voluntary and bilateral basis, the Government of each Participating Creditor Country or its appropriate institutions may sell or exchange, in the framework of debt for nature, debt for aid, debt for equity swaps or other local currency debt swaps : (i) all ODA loans ; (ii) amounts of outstanding credits, loans and consolidations on debts mentioned in Article I paragraph 1 and not granted under ODA conditions, up to 20% of the amounts of outstanding credits as of March 31, 2000 or up to an amount of 30 million SDR, whichever is higher. The Participating Creditor Countries and the Republic of Indonesia shall inform the Chairman of the Group of Official Creditor Countries of the Republic of Indonesia, who shall inform other Creditors, of the debt swap agreements prior to their implementation. All elements necessary to evaluate the operation, its impact on the Republic of Indonesia's economy and on the evolution of creditors' exposure shall be transmitted to the Chairman of the Group of Official Creditor Countries of the Republic of Indonesia, including : its nature and purpose ; the parties to the debt swap ; the amount, type and value of the debt treated ; the price of sale to investors and the expense of the Republic of Indonesia.
Phases
- First phase : From April 01, 2002 up to December 31, 2002, implemented at the signature of the agreeement
- Second phase : From January 01, 2003 up to December 31, 2003, implemented on May 23, 2003
De minimis threshold of 1 000 000 SDR
Payment of non-consolidated amounts before June 01, 2002
Comparability of treatment provision
In order to secure comparable treatment of its debt due to all its external public or private creditors, the Government of the Republic of Indonesia commits to seek from all its external creditors a rescheduling or a refinancing on terms comparable to those set forth in the present Memorandum of Understanding for credits of comparable maturity, while trying to avoid any discrimination among various categories of creditors.
The Government of the Republic of Indonesia commits not to accord any external creditor conditions of repayment more favourable than those accorded by the Participating Creditor Countries for credits of comparable maturity.
The Government of the Republic of Indonesia shall inform in writing the Chairman of the Group of Official Creditor Countries of the Republic of Indonesia not later than December 1, 2002 of the status of its negotiations and of the contents of its bilateral agreements with other creditors. Afterwards, the Government of the Republic of Indonesia shall further inform in writing regularly the Chairman of the Group of Official Creditor Countries of the Republic of Indonesia of the status of its negotiations with other creditors, as well as of the payments made to them.
Cut-off date
July 01, 1997
Organisation of the session
The meeting was chaired by Mr. Ambroise Fayolle, Vice-President of the Paris Club.
The head of the debtor country's delegation was Mr. Dorodjatun Kuntjoro-Jakti, Coordinating Minister for Economic Affairs.
