OREANDA-NEWS. The Bank of Tokyo-Mitsubishi UFJ, Ltd. (BTMU) announced the signing of the Memorandum of Understanding on Mutual Business Cooperation (MOU) with PT Sarana Multi Infrastruktur (Persero) (SMI), Indonesian infrastructure finance institution.

SMI was established as a fully state-owned financing company in February 2009. Aiming to accelerate infrastructure development in Indonesia, SMI provides investment, lending, advisory services and project preparation services for power, water, transportation, telecommunication, road, bridge, oil and gas related infrastructure and waste water projects.

Under this MOU, BTMU and SMI will establish a comprehensive framework to cooperate in infrastructure financing. Utilizing BTMU’s financing capabilities in hard currency such as Japanese Yen and US Dollars as well as SMI’s long-term financing in local currency, BTMU and SMI will support clients’ investment in infrastructure project.

In Indonesia, the infrastructure development is the urgent national agenda in light of the recent economic growth and many Japanese companies have been keen on infrastructure opportunities in Indonesia. Both Japanese and Indonesian governments also promote infrastructure development in Indonesia under the agreed initiative ’Metropolitan Priority Area (MPA)’.

BTMU, with its 45 years history under branch status in Indonesia, has a variety of experience in supporting clients’ investment into Indonesia and wide customer network. In conjunction with this business alliance with SMI, BTMU will provide better financial services to its valued clients and contribute to their deployment of infrastructure business in Indonesia.