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JAKARTA - Indonesia's ministry of state-owned enterprises has signed a preliminary agreement with United Arab Emirates-based property company Eagle Hills to develop tourism infrastructure in the Southeast Asian country, it said on Wednesday.
The Memorandum of Understanding (MoU) was for a $3 billion deal covering development of hotels, airports and tourism destinations, the ministry said in a statement issued during the visit of President Joko Widodo to the UAE.
The statement did not provide a breakdown of the projects or their value, nor a timeline for the investment plan, but a separate statement from Eagle Hills said that key aspects of the agreement included infrastructure enhancement at Jakarta's Soekarno-Hatta International Airport.
"The MoU lasts for a year with a possibility to extend it through joint agreement," Indonesian enterprise minister Erick Thohir said in the statement.
"There is no time period set for the $3 billion investment, giving flexibility on implementation."
(Reporting by Stefanno Sulaiman and Ananda Teresia in Jakarta and Federico Maccioni in Dubai Editing by Martin Petty and David Goodman)