Signing of Japanese ODA Loan Agreement with Indonesia: Contributing to National Development through Strengthening Organizational Capabilities and Administrative Reform

2025.09.01
On August 29, the Japan International Cooperation Agency (JICA) signed a loan agreement with the Government of the Republic of Indonesia in Jakarta, to provide Japanese ODA loan for the Strengthening Apparatus Management and Development Project. The signatures were exchanged between Director General Suminto of Budget Financing and Risk Management, Ministry of Finance of Indonesia and Chief Representative Takeda Sachiko of JICA Indonesia.
Terms and Amount of Loan
- Country
(Target Areas)
Republic of Indonesia, Japan
- Project Objective
The project aims to strengthen organizational capacity and promote administrative reforms contributing to national development and contributing to the achievement of the RPJMN (National Middle Term Development Plan) and the continued development of human resource exchanges between Japan and Indonesia by implementing capacity building training in Indonesia and overseas, mainly in Japan, and by supporting the establishment of a capacity development and human resource management system.
- Project Component
A) Capacity Building Training
Domestic and overseas capacity building training aimed at the development of administrative capabilities. In addition to civil servants involved in development policy and planning, this training also targets civil servants responsible for accounting and procurement, etc. related to the implementation of various development policies and plans. The anticipated content of the training is as shown below. (It is anticipated that a total of approximately 7,240 people will participate.)
B) System Building
Assistance for the enrichment of the administrative office management and capacity development platform system content. To enrich the Smart ASN platform system (which began software operation in 2022), with its various functions such as personnel information management, salary information management, online training, performance management and organizational information, etc., software assistance and capacity building training will be provided by consultants and engineers, contributing to the development and management of content.
C) Consulting Services
Assistance for the procurement of local consultants and engineers, assistance for the detailed planning and implementation of programs, project/financial management, database management, evaluations and impact studies, etc.
- Maximum Loan Amount
7,048 million Japanese Yen
- Annual
Interest Rate
Project: 1.45%, Consulting Services: 0.2%
- Repayment Period
25 Years
- Grace Period
7 Years
- Procurement
Untied
- Executing Agency
Secretariat of the Ministry of National Development Planning (Bappenas)
- Contribution to SDGs
Goal17(Partnerships for the goals)
-
Planned Implementation Schedule
1. Completion of the Project: March 2032, when all training is completed
2. Issuing of letters of invitation for consulting services (including detailed design work): September 2025
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