US invests US$2 billion in Indonesian sovereign wealth fund

CEO of the US International Development Finance Corporation (IDFC) Adam Boehler has signed a letter of interest to invest US$2 billion in the Indonesia Investment Authority (IIA) or Sovereign Wealth Fund (SWF) in Washington D.C.
In a statement, the Indonesian Coordinating Maritime and Investment Ministry said within the framework of the economic reform programme, the Indonesian Government continues developing financial choices and private investment in national strategic projects and other priorities, thus enhancing economic ties between the US and Indonesia.
Accordingly, IDFC will cooperate with partners from Japan, the United Arab Emirates and Singapore.
The Indonesian Government set the goal of establishing the IIA in January 2021 to enhance investment and support the economy amid the COVID-19 pandemic.
In early October, Indonesian Finance Minister Sri Mulyani Indrawati said the Indonesian Government has prepared an initial capital of 75,000 billion rupiah (US$5.1 billion) for SWF, including 30,000 billion rupiah in cash and the remainder in the form of shares in State-owned enterprises and other State assets.

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