Iran to build refinery and power plant in Indonesia

Business Materials 5 May 2015 17:06 (UTC +04:00)

Baku, Azerbaijan, May 5

By Fatih Karimov - Trend:

A high-ranking economic delegation from Indonesia will travel to Iran in the near future, said Iranian Government Spokesman Mohammad Baqer Nobakht.

Iran has agreed to build a refinery and a power plant in Indonesia, he said, adding that the delegation will discuss ways to implement the agreement, Iran's Tasnim news agency reported on May 5.

The two countries should expand economic ties, he said, adding that the annual bilateral trade is currently about $390 million.

"Indonesia has announced that its cities require renovation. Iran has the capacity to help Indonesia," Nobakht said.

In April, Iranian President Hassan Rouhani and his Indonesian counterpart Joko Widodo, in a meeting in Jakarta, underlined the need for further efforts to boost bilateral relations between the two Muslim countries in diverse areas.

In his remarks, Rouhani pointed to the importance of closer cooperation between Tehran and Jakarta in the area of economy, and said the joint economic commission of the two countries should work more actively.

Indonesia was a member of the Organization of the Petroleum Exporting Countries (OPEC), but it dropped out of OPEC in 2009 after a steady decline in its production due to deficient infrastructure and paucity of investment.