Background

Government of Indonesia has pledged an ambitious infrastructure and energy road map in order to meet a growing demand and expanding middle class level in Indonesia. Nonetheless, those ambitious projects have met various hurdles, especially in the financing aspect, devils are in the details so they say.

Reflecting from the 1997 Asian Financial Crisis, a lot of foreign financial institutions have been hesitant and growing wary with the Indonesian legal regime. They doubt the speed of execution and legal enforcement, which leads to a curtailed credit appetite for financing any project in Indonesia.

In order to mitigate and alleviate those concerns, some financiers have come up with innovative financing solution to ring-fence lenders' exposures to certain projects while ensuring the sponsors' goals are met and the projects achieve its effective commercialisation in timely manner through a structure called project and export finance.

Course Overview

This course provides a comprehensive analysis of the legal and business aspects of project and export finance transactions while providing a practical overview of the key issues.

• Lawyers
• Corporate executives and project sponsors
• Finance professionals
• Auditors and consultants
• Accountants

Topics covered include:

Project Finance

• Description of Project Finance
• Appropriateness of Project Finance
• Project Finance Structure and Overview
• Security Package
• Project Finance vs Corporate Loan
• Typical project finance ratio
• Debt sizing methodology
• Actors in Project Finance
• Risk Assessment of Project Finance
  • Due Diligence
  • Key Consideration
  • Environmental and Social Analysis
• Repayment of Project Finance
  • Cash flow reserve
  • Cash flow waterfall
• Financing Process
  • Type of documents involved
  • Financing sequence

Export Finance

• Export Finance Structure and Overview
• Advantage of Export Finance
• Typical Export Finance Structure
• Typical Export Finance Term Sheet
• Execution of Export Finance