Brunei-Japan Islamic fund to invest up to $100 mln in fish processing plants in Indonesia

Photo: Fishermen sort tuna at the Port of Tegal, Central Java, Indonesia on January 24, 2017 in this photo taken by Antara Foto. Antara Foto/Oky Lukmansyah / via REUTERS

NUSA DUA, BALI – SBI Islamic Fund will provide an investment of up to $100 million for state-owned company Perum Perikanan Indonesia to build fish processing hubs in Aceh and Maumere, Amran Mohamad, the fund’s CEO said today.

SBI Islamic Fund II currently stands at $60 million, comprised of $25 million from the Brunei finance ministry, $25 million from SBI, and $10 million from the Islamic Development Bank, said Mohamad. He added that the fund is still in discussions with investors for the remaining $40 million.

“The ongoing investment is in the fish processing facilities in Maumere that processes tuna for export to Japan. Maumere will then set up another processing hub in Aceh, which will be much bigger. We are doing the agreements now for Aceh,” said Mohamad.

The fund is a 50-50 joint venture between Brunei’s finance ministry and Japan’s SBI Holdings. Its objective is to invest in profitable and private companies in the Asia Pacific.

The partners established the Brunei-incorporated fund management company in 2010 and launched its first Islamic fund in 2013. The roughly $75 million vehicle invested in such businesses as major Indonesian logistics company Pandu Siwi Sentosa. SBI has established another fund on a larger scale on the back of the first fund's success.

© SalaamGateway.com 2017 All Rights Reserved