August 27, 2019
JAKARTA – Senior officials representing the Overseas Private Investment Corporation (OPIC), the U.S. Government’s development finance institution, Australia’s Department of Foreign Affairs and Trade (DFAT) and Export Finance Australia, and the Japan Bank for International Cooperation (JBIC) this week traveled to Indonesia to explore joint opportunities to support the development of infrastructure in the country and across the Indo-Pacific.
While in Indonesia, the trilateral partners identified joint opportunities to mobilize and support the deployment of private capital to support infrastructure development, and to support the principles of ASEAN’s Outlook on the Indo-Pacific. Through their partnership, OPIC, DFAT, Export Finance Australia, and JBIC are committed to leveraging the diverse tools of each country, which range from development finance to grant funding, to advance mutual development goals in the region.
On their visit, the delegation met with senior Government of Indonesia representatives including Minister of Transportation Budi Karya Sumadi and Minister of Communications and Information Technology Rudiantara as well as officials from the Coordinating Ministry for Economic Affairs and Ministry of Energy and Mineral Resources. They also met with representatives of Indonesia Infrastructure Finance, the Indonesia Infrastructure Guarantee Fund, and PT Sarana Multi Infrastruktur as well as private sector leaders representing priority sectors including transportation, energy, and the digital economy.
During their meetings, the trilateral partners reaffirmed their commitment to advancing infrastructure development in the region through projects that are built to last; are financially sustainable; adhere to high international social, labor, and environmental standards; ensure transparency; create economic opportunities for all, including women and local workers; and respect the sovereignty of host countries.
The mission delivers on a commitment made by the trilateral partners in a joint statement issued ahead of the 2019 G20 Summit to send a joint mission to Southeast Asia.
“No country can meet the development challenges of the Indo-Pacific alone,” said Brian Churchill, OPIC Senior Advisor for the Indo-Pacific and White House Fellow, in opening remarks at a plenary session hosted by the Coordinating Ministry for Economic Affairs. “OPIC is proud to lead a joint mission with trilateral partners in Indonesia to forge new opportunities to support the development of critical infrastructure—on terms that empower local communities and advance a model that promotes long-term prosperity and stability in the region.”
The visit advances the Trilateral Infrastructure Partnership between OPIC, DFAT, Export Finance Australia, and JBIC, which aims to strengthen cooperation among like-minded countries in order to drive economic growth in the Indo-Pacific and promote sustainable infrastructure investments in the region.
The Overseas Private Investment Corporation (OPIC) is a self-sustaining U.S. Government agency that helps American businesses invest in emerging markets. Established in 1971, OPIC provides businesses with the tools to manage the risks associated with foreign direct investment, fosters economic development in emerging market countries, and advances U.S. foreign policy and national security priorities. OPIC helps American businesses gain footholds in new markets, catalyzes new revenues and contributes to jobs and growth opportunities both at home and abroad. OPIC fulfills its mission by providing businesses with financing, political risk insurance, advocacy and by partnering with private equity fund managers.
OPIC services are available to new and expanding businesses planning to invest in more than 160 countries worldwide. Because OPIC charges market-based fees for its products, it operates on a self-sustaining basis at no net cost to taxpayers. All OPIC projects must adhere to best international practices and cannot cause job loss in the United States.
The Department of Foreign Affairs and Trade (DFAT) is a department of the Government of Australia charged with providing the government with foreign, trade, and development policy advice. It manages an A$4 billion aid program as well as the new A$2 billion Australian Infrastructure Financing Facility for the Pacific (AIFFP), which provides lending and grants. DFAT works to make Australia stronger, safer, and more prosperous by promoting its interests internationally and contributing to regional and global stability and economic growth.
About Export Finance Australia
Export Finance Australia is the Australian Government’s export credit agency. It provides financial expertise and solutions to drive sustainable growth that benefits Australia and its partners. Through its loans, guarantees, bonds and insurance options, Export Finance Australia enables SMEs, corporations, and governments to take on export-related opportunities, and support infrastructure development in the Pacific region and beyond.
The Japan Bank for International Cooperation (JBIC) is a policy-based financial institution, its shares wholly owned by the Government of Japan, which has the purpose of contributing to the sound development of the Japanese and international economy and society by taking responsibility for financial functions to promote overseas development and secure natural resources with strategic importance to Japan, maintaining and improving the international competitiveness of Japanese industries, promoting overseas business having the purpose of preserving the global environment, and also providing the financial services that are necessary to prevent disruptions to the international financial order or to implement appropriate measures with respect to the effects of such disruption.