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BRITISH EMBASSY
JAKARTA
12 November 1984
UNITED KINGDOM/INDONESIA AUSTRALIA-INDONESIA-SINGAPORE
SUBMARINE CABLE SYSTEM PROJECT GRANT 1984-

Your Excellency
I have the honour to inform you that it is the intention of
the Government of the United Kingdom of Great Britain and
Northern Ireland to make available to the Government of the
Republic of Indonesia certain sums by way of a grant (hereinafter
referred to as "the grant") consisting of contributions towards
the cost of the purchase of certain goods wholly produced in and
supplied from the United Kingdom (hereinafter referred to as
"UK goods") '.1.Ild certain services performed by persons normully
resident in the United Kingdom (hereinafter referred to as
"UK services"). The grant may also be used to defray the cost
of certain chGrges and commissions payable to the Crown Agents
for Oversea Governments and Administrations (hereinafter referred
to as "the Crown Agents").
Whereas PT (Persero) Indonesian Satellite Corporation of

Indonesia, Overseas Telecommunications Commission (Australia),
2.

His Excellency
Prof. Dr. Mochtar Kusumaatmadja SH LLM
Minister of Foreign Affairs
Jakarta

Cable and Wireless (Hong Kong) Limited and Telecommunication
Authority of Singapore have entered into a contract dated
20 July 1984 (hereinafter referred to as "the Contract") with
Standard Telephones and Cables Plc of 190 Strand, London WC2 1DU,
a company registered in the United Kingdom (hereinafter referred
to as "the Contractor"), for the supply of a submarine telephone
cable system between Australia, Indonesia and Singapore to be
known as the A - I - S system (hereinafter ref erred to as
"the project") and whereas the said contract provides for
PT (Persero) Indonesian Satellite Corporation of Indonesia
(hereinafter referred to as "the Purchaser") to make separate
payments for parts of the project in accordance with the terms

of Article 3 of STC Terms and Conditions of Contract, the UK
goods and UK services ref erred to in paragraph 1 of this Note
are to be provided for the said parts of the project .
3. The amount of the grant will not exceed whichever is the
less of the following:a. £3,093,000 (three million and ninety three thousand
pounds sterling) or
b.

the sum of
i. 25.1 per cent of that portion of the total contract
price which the purchaser is liable to pay in accordance
with Article 24 a (V) of the contract to be applied to
the payment of UK goods and UK services supplied in
accordance with the contract a."1d
ii . the charges and commissions of the Crown Agents
which are payable in accordance with this Note.

4. The Contract is also to be financed in accordance with an
agreement (hereinafter referred to as "the Loan Agreement")
dated 10 October 1984 between your Government and The Midland Bank

Public Limited Company of 27-32 Poultry, London EC2P 2BX.

5.

The