Ready to Fund U.S. $ 2.5 Billion, Russia Interested Build Rail in Kalimantan, Indonesia

Jakarta - Russia is committed to finance railway construction in Kalimantan. Promised funds reached U.S. $ 2.5 billion. "There are Russian companies are interested in building a railroad from Central Kalimantan to East Kalimantan," said Deputy Koordiasi Economic Cooperation and the International Financing Coordinating Ministry for the Economy Rizal Affandi Lukman,in Jakarta, (1/8/2011).

Rizal adds a Russia-based company interested in building a railroad linking the Central Kalimantan and East Kalimantan. The reason this transport will be used to transport coal. "Primarily to transport stone fig there," he said.

Furthermore Rizal mention, which will be issued Russian investment to build a rail along the 135 km is estimated at U.S. $ 2.5 billion. . 'The value of U.S. $ 2.5 billion. It can be agreed upon the Russian government, the Indonesian government, and local governments in Central Kalimantan and East Kalimantan that will be passed by rail, "he explained.

The plan, said Rizal, signing a memorandum of understanding (MoU) will be held around November 2011 in Bali when the Russian president came to visit Indonesia. "The MoU was to be signed during the visit of Russian President visited Bali in November, the Asia Summit," he said.

Rizal is said, the railroad is planned to be completed within 3-5 years after the signing. The next plan, the railway was not only devoted to coal, but can also be used for public transportation. "The target of course if possible within 3-5 years after the signing, did not sign up immediately. Hopefully be employed to haul people, now specifically for the coal alone, "he added.

According to Rizal, the current total trade with Russia is fairly lower than with other countries, which amounted to USD1, 7 billion in 2010. But ahead of the first five months, there has been a considerable increase singnifikan. "This year in the first five months rose more than 50 percent compared with the previous year," he explained.

Besides infrastructure, Affandi also said the Indonesian government also hopes that there is wheat flour imports from Russia. "We are already there and hopefully can be done continue. This is to add an alternative to Indonesia, not only imports from Australia and Turkey, "he explained.

Rizal explained, with the supply of large amounts of continuously it will be beneficial for the Indonesian market, the article with many importers that supply the wheat flour will mean more competitive prices. "This is the aim of the pack still expect the Minister to import supplies from Russia to continue," he said.

What is clear, says Rizal again, the same is found in the field of investment. Until 2009, Russia was only U.S. $ 360 thousand, divided into fields of transportation, warehousing, communications, and other service sectors. "Very few Russian companies that exist right here," he said.

Rizal said that many industrial products that Indonesia is very potential for trading in Russia, considering products from Russia is very different from Indonesia (complementary). "These products, light industries like textiles garments, footwear, electronics us great potential there," he said. (*)

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