REPUBLIKA.CO.ID, JAKARTA - Jakarta provincial government will cancel loan from the World bank. The loan is initially to fund Jakarta Emergency Dredging Initiative (JEDI) to normalize rivers and water reservoirs in the capital.

Vice Governor of Jakarta Basuki T Purnama said he had sent a letter to Minister of Public Works related to the cancellation. "Loan agreement with the World Bank has complicated clauses, so we didn't want to continue it," he said on Tuesday. However, Purnama promised that JEDI program was not canceled as it would be funded by regional budget (APBD). 

There were two clauses rejected by Jakarta provincial government. First, time to dredging will set for five years. Second, it mentioned that provincial government should ensured the right of people at the riverbank which will be evicted by giving them compensation.

JEDI program is predicted to absorp 190 million USD. The World Bank provided 139 million USD to Indonesian government and 51 million USD will be prepared by central government from national and regional budget. Antara/Mutia Ramadhani