Indos
INT'L MOD
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Indonesia asking cost adjustment due to the restriction imposed by join US and South Korea during development phase. I will post Indonesian Defense Ministry statement later
The jewel is during development, not after it
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Defense Ministry insists RI adjusts the payment of the KF-21, not asking for a cut
- Tuesday, May 7, 2024 12:28 WIB
"The exact term for the steps taken by the Indonesian government regarding the financing of the KF-21 fighter project is the adjustment of payments (Payment Adjustment), not a payment cut. This adjustment is in line with the progress of cooperation that has been and will still be implemented with South Korea," he said.
Edwin conveyed it also to straighten out the news from the South Korean news agencyYonhapOn May 7, 2024, Indonesia called on a cut in contribution costs for cooperation on the construction of KF-21 Boramae fighter jets.
READ MORE: Indonesia proposes cutting for the payment of fighter jet projects with South Korea
Yonhap at that time referred to the statement of the DAPA — the institution in South Korea that takes care of cooperation and procurement of equipment — which recognizes negotiations on the payment of the KF-21 Boramae.
DAPA spokesman Choi Kyung-ho, as quoted from Yonhap, said DAPA and other relevant agencies are still reviewing Indonesia’s proposal.
YonhapIn the news related, Indonesia submitted an adjustment of 600 billion won payments for the entire KF-21 manufacturing project.
In the previous commitment, Indonesia agreed to pour 1.7 trillion won or 20 percent of the overall project value of 8.1 trillion won.
READ MORE: Indonesian Embassy accompanying two Indonesian engineers accused of stealing KF-21 jet data
Karo Public Relations Ministry confirms that the adjustment of the payment requested by Indonesia to South Korea is a rational step because Indonesia does not fully get technology transfer activities in the manufacture of KF-21 Boramae fighter jets.
"There are several activities in the program that cannot be followed (the true translation should be "contributed") by Indonesian technicians. As a result, the payments made by the Indonesian government are adjusted to the benefits obtained from this cooperation, "said Edwin.
"A natural and in accordance with the principle of accountability that for programs or activities that are not followed (contributed) by Indonesian technicians, the Indonesian side does not need to bear the cost, which in turn reduces the amount of payments that have been planned," he added.
Edwin explained that in the fighter jet-making project, South Korea received a sharing fee (Cost Share) until 2026 because after that year, the KF-21 project entered the production phase and the cost of sharing from Indonesia is adjusted to the fiscal capabilities set by the Ministry of Finance, which is Rp1.32 trillion per year until 2026.
"This is an effort by the government to ensure that the Government's financial obligations in this project remain within the limits of the state budget capability," he said.
READ MORE: South Korea discusss Indonesia-layed fighter jet project
He added that the Indonesian government is obliged to ensure the payment of procurement or cooperation in making equipment is an investment that can bring optimal results.
Therefore, he guarantees the Ministry of Defense is committed to transparency in every international cooperation, including in the KF-21 project.
"This payment adjustment step is to ensure that Indonesian government investment provides optimal results and the use of state finances for the KF-21 project can be accounted for to the public," Edwin said.
The collaboration between the construction of the KF-21 Boramae fighter jet was launched in 2015, and is targeted to be completed by 2026.
Kemhan tegaskan RI sesuaikan pembayaran KF-21, bukan minta pemotongan
Kementerian Pertahanan menegaskan pemerintah Indonesia meminta penyesuaian pembayaran (payment adjustment) kepada pemerintah Korea Selatan atas kerja sama ...










