The government delays the disbursement of IDR2.6 trillion in State-owned Enterprises (SOEs) funds for four SOEs since the legal umbrella has not been enacted.
The four SOEs are State Electricity Company PLN (IDR1 trillion), PT Reasuransi Internasional Indonesia (IDR700 billion), PT Iglas (IDR400 billion) and PT Wijaya Karya Tbk (IDR500 billion).
"According to the plan, the SOE funds will be launched on June 30, 2010, but it has been delayed until we don't know when. We are still finalizing the legal ground for the SOE Funds," told Secretary to the State Ministry for SOEs Said Didu to Bisnis yesterday.
The SOE Funds is a government program that raises funds from SOEs and other strategic investors to finance projects developed by SOEs.
"The program is delayed since we are still finalizing the legal ground. We cannot make intervention," inserted Said.
Based on the document that Bisnis got, the SOE Funds will be implemented gradually starting on June 30, 2010. The funds will focus on infrastructure financing and prioritize commercial aspects.
For a start, the issuance of equity mutual fund for the SOE Funds will aim at fulfilling the asset and project needs of the four SOEs.
In the meantime, the second phase will be realized in the second semester of 2010 to finance PT Aneka Tambang Plc and state port operator Pelindo III (Ltd).
Moreover, the third phase will be realized in 2011 to finance PT Jasa Marga Tbk, PT Angkasa Pura and PT Perhutani.
President Director of Reindo Setiawan said he knew about the government plan of injecting IDR700 billion fund to Reindo through the SOE Funds. The fund would be used to bolster the capacity of the company.
In addition, the company would also receive IDR300 billion fund from PT Jamsostek to strengthen their capital, which for this year is targeted at IDR1 trillion.
"The budget is to create a national reinsurance company that will have a capital of IDR1 trillion," said Setiawan.
Risk coverage
He explained the stronger capital was expected to bolster the company's domestic risk coverage capacity to minimize deficit in the balance of payment on the significant amount of premium flying overseas.
Financial Director of PLN Setio Anggoro Dewo admitted the State Ministry for SOEs had discussed the mutual fund issuance plan with PLN. "In principle, we support efforts to raise funds to finance SOEs' working capitals. However, the amount of fund offered is still too small."
Of the total fund need of IDR18 trillion, PLN is still IDR12 trillion short to realize power plants nationwide. (Bisnis/mts/spr/gps/06)
http://www.bisnis.com/pls/bisnis/bisnis.cetak?inw_id=741199
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