Sukhoi squadron 'to fly by 2008'

The Jakarta Post , Jakarta | Mon, 12/04/2006 1:08 PM

The Indonesian Military says that by 2008 it will have a squadron of 10 Sukhoi jet fighters, with Russia pledging US$1 million in credit for the arms purchase.

"We have four Sukhoi jet fighters now. We hope that, with the new agreement, we could have a squadron by 2008," Defense Ministry secretary-general Sjafrie Sjamsuddin was quoted as saying Saturday by Antara.

Indonesia plans to buy six more jet fighters from Russia through a US$1 billion loan that was signed by Sjafrie on Friday in Moscow.

The loan was set shortly after President Susilo Bambang Yudhoyono met with Russian Prime Minister Vladimir Putin to sign several agreements, the most important of which was on military equipment purchases.

Yudhoyono was said to have been impressed by the Russian military technology on display at the recent defense expo in Jakarta.

Indonesia also plans to buy 10 MI17 U-5 carrier helicopters and five combat choppers through the loan scheme. It will also purchase two submarines, 20 amphibious tanks and anti-aircraft missiles for its navy.

Sjafrie said Indonesia would need US$1.3 billion for arms procurement between 2006 and 2010. ""We will try to get the remainder from the Finance Ministry with the National Development Planning Board's recommendation,"" he said.

Indonesia purchased the first four Sukhois, along with two MI-35 helicopters worth US$192 million in 2003, during Megawati Soekarnoputri's presidency.

The purchase was a controversial one as the government did not consult with the House of Representatives before making it. But the Defense Ministry at the time had announced plans to purchase more jet fighters from Russia.

The ministry said Indonesia needed more Sukhoi jet fighters to strengthen its defense and that four Russian jet fighters would not be enough. It said it believed the number of the jet fighters needed to be increased to at least a squadron, between 10 to 16 planes, to build a strong defense system.

The Indonesian Military turned to Russia for arms after the U.S., which had supplied 80 percent of Indonesia's weaponry, placed an embargo on the country following the Dili massacre in Timor Leste in 1991.

The embargo was lifted fully earlier this year after Jakarta agreed to carry out a full investigation into the 2002 killing of two Americans in Papua.

Sjafrie said Indonesia and Russia had signed an agreement to protect copyright in the defense industry, especially in terms of information technology and military strategy. The two countries, he added, had also agreed to enhance professionalism and to hold joint military trainings.

Military to Buy 6 More Sukhois

The Jakarta Post , Jakarta | Wed, 11/29/2006 12:49 PM

MALANG, East Java: Indonesia will buy six more Russian-built Sukhoi jet fighters, Air Force chief Marshall Herman Prayitno said Tuesday.

Herman said the purchase of the Sukhois, of which Indonesia already owns four, was to be made through a US$1 billion loan from Russia that President Susilo Bambang Yudhoyono would sign during his trip there this week.

Yudhoyono is scheduled to meet his counterpart Vladimir Putin to finalize the loan.

""The purchase of more Sukhois is aimed at creating a deterrent effect and we do not have any plans to attack other countries. Of course as a sovereign country we want to be strong and respectful,"" Herman said.

Indonesia purchased the first four Sukhois, along with two MI-35 helicopters worth US$192 million in 2003, during Megawati Soekarnoputri's presidency.

The Indonesian Military turned to Russia for arms after the U.S., which supplied 80 percent of Indonesia's weaponry, placed an embargo on the country following the Dili massacre in Timor Leste in 1991. The embargo was lifted fully earlier this year. -- JP

Russia Extends Credit for Arms

The Jakarta Post , Jakarta | Sat, 07/01/2006 4:31 PM

The Russian government has agreed to provide Indonesia a US$1 billion export credit to procure several Sukhoi fighter jets, warships and other military equipment from the country.

A memorandum of understanding on the deal was signed in Jakarta on Thursday. It follows an agreement in April 2003 to enhance technical military cooperation between the two countries.

Under this latest deal, the export credit also will be used to buy spare parts from Russia, for troop training programs and to develop Indonesia's defense industry. The agreement is effective for five years.

""As a first step, we will buy six Sukhoi fighter jets for around US$300 million to meet the needs of the Air Force,"" said the secretary-general of the Defense Ministry, Lt. Gen. Syafrie Syamsudin.

He said the ministry hoped two of the Sukhoi jets would be delivered by mid-2007. The Indonesian Military currently owns four Sukhoi jets.

Syafrie said Indonesia also planned to buy several Russian vessels for the Navy, including submarines.

According to the secretary-general, the government agreed to accept the export credit because of the beneficial terms offered. ""The interest rate is only for five years and there is no insurance fee. The credit can save us up to 12.25 percent if compared to a commercial credit.""

""There is the possibility that the value of the credit will be expanded. Russian banks are still studying this cooperation,"" Syafrie said.

President Susilo Bambang Yudhoyono plans to visit Russia to discuss defense cooperation with his counterpart Vladimir Putin.

Alexander V. Denisov, a senior Russian defense official, said his office was preparing for the planned visit by Yudhoyono. However, he could not specify a date.

""We can fulfill all the Indonesian government's military needs since our government has a good relationship with Indonesia,"" Denisov said during Thursday's signing ceremony.

He said Russia had also agreed to find other sources of funds to provide Indonesia more credits for its defense needs.

""We are still talking about the payment system for the Indonesian government,"" he said.

There will be more talks with Indonesian officials about the details of future contracts, Denisov added. (05)