Jakarta, CNN Indonesia —
Indonesia is recorded to have debt hidden from China of US$17.28 billion or Rp.245.37 trillion (exchange rate of Rp.14,200 per US dollar).
The hidden debt or hidden debt was conveyed by the research institute AidData in a report entitled ‘Banking on the Belt and Road: Insight from a new global dataset of 13.427 chinese development projects.’
AidData is an international development research institute. This report discusses 13,427 projects in 165 countries with a value of US$843 billion.
Citing the document, Friday (15/10), Indonesia’s debt is related to the strategy belt and road initiative (BRI) initiated by China.
Indonesia is one of hundreds of countries that have hidden debts to China. “Collectively, this is a reported debt of approximately US$385 billion,” wrote AidData.
Indonesia’s hidden debt to China is equivalent to 1.6 percent of gross domestic product (GDP).
In addition to hidden debt, Indonesia also received a loan from China of US$4.42 billion or Rp official development assistance (ROOM).
Then, China also channeled loans to Indonesia through skema other official flows (OOF). Its value is US29.96 billion or Rp.425.43 trillion.
For information, China’s hidden debts to Indonesia are not recorded in government institutions. This is because the debt is not channeled through the government, but state companies or state-owned enterprises.
Apart from state-owned enterprises, debt is also channeled through state-owned banks and private companies. “This debt largely doesn’t show up on government balance sheets,” explains AidData.
(aud / bir)
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