Export Development Canada (EDC) and PT Sarana Multi Infrastruktur (Persero) (“PT SMI”) have announced the signing of a new Memorandum of Understanding (MoU) to increase collaboration in support of Indonesia’s growing needs for infrastructure development and energy transition to net zero emissions.
The MoU, which was signed by both parties at a PT SMI Donor Coordination Meeting in Jakarta, will facilitate and deepen Canadian participation in Indonesia’s infrastructure project development, as well as to connect technology experts and investors with projects and project developers in Indonesia. The MoU foresees joint outreach and knowledge sharing between Canadian exporters and Indonesian key stakeholders, as well as the joint financing of projects with Canadian participation.
“PT SMI has extended the number of strategic partners, to leverage the innovative range of partnerships,” said Edwin Syahruzad, President Director of PT SMI. “Further, our commitment to sustainability extends beyond financing, as we actively engage with stakeholders to also foster knowledge exchange, and advocate for policy reform that support the energy transition process.”
Through the MoU, EDC brings financing and structuring expertise, as well as deep relationships with Canadian technology providers, exporters and investors. PT SMI plays a central role supporting Indonesia’s infrastructure development and the country’s transition to net zero emissions by 2060 or sooner. Further, PT SMI manages the Energy Transition Mechanism (ETM) Country Platform and SDG Indonesia One, two key programs which underpin Indonesia’s energy transition strategy.
“Indonesia has an ambitious infrastructure plan that is built on sustainability, and with Canada’s world-class technology suppliers and investors, we can help,” said Sven List, Senior Vice President, Corporate and International Group. “PT SMI is at the centre of financing for Indonesia’s infrastructure build-out and together we can enhance the ability for Canadian exporters and investors to participate in their infrastructure and energy transition projects. With our combined knowledge, financial tools and PT SMI’s deep commitment to sustainable development, we can respond to Indonesia’s needs with meaningful impact.”
About PT Sarana Multi Infrastruktur
PT Sarana Multi Infrastruktur (Persero) ("PT SMI") which was founded on February 26, 2009 is a State-Owned Enterprise under the coordination of the Ministry of Finance in the form of a Non-Bank Financial Institution (LKBB). PT SMI plays a role and has a mandate as a catalyst for accelerating national development.
PT SMI has various functions and unique products/features to support the acceleration of infrastructure development which not only functions as infrastructure financing but also as an enabler through the implementation of the Government and Business Entity Cooperation (KPBU) scheme which includes various financial institutions, both private and multilateral. PT SMI actively supports the implementation of PPP and encourages the acceleration of infrastructure development in the regions through regional loan products.
PT SMI has three business pillars, namely (1) Financing and Investment, namely financing infrastructure projects, (2) Consulting Services, namely solutions to the needs of professional staff and experts in the infrastructure sector and (3) Project Development, namely assisting the Person in Charge of Cooperation Projects (PJPK) to prepare infrastructure projects.
