Simon Montlake, Jakarta – The Indonesian Bank Restructuring Agency plans to restructure 70% of its major debt cases by the end of this month, Irwan Siregar, a senior IBRA executive, said Wednesday.

IBRA is managing loans with a nominal value of about IDR260 trillion, which it has taken over from the devastated banking sector.

The agency has targeted an initial 21 big debtors for loan restructuring before pushing ahead with smaller creditors. Currently, the agency has restructured 40% of the debt owed by the top 21 debtors, Irwan said.

Later this month, IBRA hopes to conclude debt workouts with four large debtors: PT Texmaco Jaya TBK (P.TJY), and unlisted Bahana Securities, PT Timor Putra Nasional and PT Cipta Bumi.

IBRA's loans involve around 150,000 debtors, of which 2,000 account for a massive IDR216 trillion of the total. The agency also manages assets totaling a nominal IDR113 trillion, which it took over from failed bank owners last year.

IBRA is tasked with raising IDR19 trillion this year to help reduce the government deficit.