Japan made the commitment at a meeting between Indonesian president Susilo Bambang Yudhoyono and Japanese Prime Minister Taro Aso at the Hotel Intercontinental early this week.

Indonesian Finance Minister Sri Mulyani told a press conference that US$12 billion would be extended in the form of a bilateral swap facility in the framework of the Chiang Mai Initiative, US$1.5 billion in the form of Samurai bonds, US$500 million in regular loans for 2009, and US$500 million in financing facilities.

Regarding trade financing, the minister said it would be done by the Japan Bank of International Cooperation in partnership with Bank Ekspor Indonesia.

Besides the US$14.5 billion assistance Japan would also extend another US$2.4 billion to finance various projects, she said.

The funds were for the 2009-2010 fiscal year.