Indonesian banks suffer US$222 million credits loss in Aceh
7/1/2005 17:05
Indonesian local banks suffered some 2 trillion rupiah (some US$22 million)
lending loss in Aceh province, as the affect of tsunami disaster on Dec. 26, the
Bank of Indonesia said Friday. "The total credit in Aceh province is 4
trillion, about 50 percent of the total credit loss due to tsunami disaster,"
said Governor of the Bank of Indonesia Burhannudin Abdullah, who was quoted by
the Bisnis Indonesia daily. He said the central bank was considering whether
to entirely or partly write off the unrecoverable loans for humanitarian
reasons, or to extend the payment of the lending period. "There are certain
condition that must be considered in the rules of credits," he said. Today a
number of local banks have recommenced their operation in the tsunami hit Aceh
province. The Dec. 26 catastrophe had leveled Banda Aceh, capital of the
province and several parts of North Sumatra province, killing more than 98,000
people.
Xinhua
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