Singapore-based data centre company DayOne and Indonesia Investment Authority (INA) obtained 6.7 trillion rupiah (US$ 411 million) financing from Singaporean banks DBS Group and United Overseas Bank in the largest ever rupiah-denominated data centre financing deal, according to Reuters quoting from a joint statement by the banks yesterday.
DayOne and INA will use the proceeds of the loan to jointly develop and operate three data centres located in the Nongsa Digital Park in Batam. Upon completion by end-2025, the campus will have a combined capacity of around 72 MW, which will account for around 5% of Indonesia’s projected data centre capacity of 1.41 gigawatts by 2029, according to the statement.
The data centre project will be INA’s first investment into the sector and an expansion of DayOne in Indonesia. INA is Indonesia’s sovereign wealth fund, wholly owned by the Indonesian government. DBS and UOB are Southeast Asia and Singapore’s biggest and third largest lender by assets respectively.
The funding comes at a time when investor appetite for data centres is growing in Asia, driven by demand for artificial intelligence and cloud computing-based services.
