Saudi Arab to fund two hospitals in Indonesia

RIYADH: Saudi Arabia and Indonesia are discussing a plan where Saudi aid organizations will extend a SR225 million loan facility to fund the construction of two hospitals in Indonesia.

Jakarta, on the other hand, has also announced the boosting of links in the energy sector and to “increase crude oil imports by 200,000 barrels per day from the Kingdom, a key ally of Indonesia,” said Indonesian Ambassador Gatot Abdullah Mansyur, on Monday.

“This Saudi goodwill gesture to build two hospitals — one on the campus of Andalas University and another on the premises of the University of Sebelas Maret in Indonesia — will further improve the excellent relations between the two countries,” said the ambassador.

He said that Jakarta was discussing the projects with the Saudi Fund for Development (SFD)Saudi Fund for Development (SFD) and the Islamic Development Bank (IDB)Islamic Development Bank (IDB)Islamic Development Bank
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, which have assured the Indonesians of loan facilities for the two healthcare projects. The ambassador pointed out that the University of Sebelas Maret is an Indonesian state university located in Surakarta area, where a medical facility urgently required.

The university is new with tremendous potential. Besides its strategic location, the it also has highly developed laboratories and infrastructure in Central Java. Andalas University, the oldest university in the country with 11 faculties, will have another Saudi-funded hospital. Its five-square-kilometer main campus is located in Limau Manis, in West Sumatra.

Referring to the progressively improving relations between Riyadh and Jakarta in the oil sector, he said that Indonesia’s state-owned oil and gas firm PT Pertamina would increase crude oil imports from Saudi Arabia by 200,000 barrels per day.

The announcement comes amid rising domestic energy demand in Indonesia as oil production has fallen recently due to the lack of investment and aging wells in the country.

Courtesy Arab News