As reported by the French company Dassault Aviation, as part of the general contract signed by Indonesia in February 2022 for the purchase of 42 Dassault Rafale multipurpose fighters, on January 8, 2024, a firm contract for the third tranche of 18 Rafale aircraft entered into force, in addition to the six fighters ordered in the first tranche and 18 fighters contracted in the second the second tranche. Thus, Indonesia has so far contracted all 42 agreed Rafale aircraft.
Dassault Rafale B (c) Dassault Aviation fighter
Recall that on February 10, 2022, the Indonesian Ministry of Defense signed a framework agreement with the French company Dassault Aviation on the acquisition of 42 new-built Rafale fighters. The total cost of supplies under this agreement is estimated at $ 7 billion, excluding weapons. Due to Indonesia's lack of such available funds, this Rafale purchase agreement was divided into three phased batches (tranches): The first tranche consists of six aircraft (the formal contract for which was also signed in February 2022), and the second and third tranches - 18 units each.
Only the purchase of the first batch of six Rafale aircraft was immediately formally secured with financing in the amount of $ 1.1 billion from the budget of the Indonesian Ministry of Defense in 2021 through foreign loans (apparently French). The approval of this loan was somewhat delayed, and the contract for the first batch of six Rafale aircraft entered into force only on September 9, 2022 after Indonesia made advance payments at the expense of funds received from foreign creditors. It is reported that in case of continued sustainable financing, these six first Rafales will be launched by delivery to the Indonesian Air Force 39 months after the contract enters into force, that is, from the end of 2025, with delivery completed by the end of 2026. In November 2022, the first batch of Indonesian flight and technical personnel (six and eight people, respectively) was sent to France to undergo training on Rafale aircraft.
It was reported that Indonesia needed $5.9 billion in foreign loans to finance the rest of the Rafale procurement program, but the sources of such loans were not initially identified . In November 2022, the Indonesian Ministry of Finance authorized the Indonesian Ministry of Defense to receive foreign loans of up to $3.9 billion for three separate proposals submitted by the Ministry of Defense to maintain the combat capabilities of the Indonesian Air Force. Two of these proposals included the purchase of 12 Dassault Mirage 2000-5 multirole fighters from the Qatar Air Force (worth $734.5 million, the contract was signed in June 2023, but has not yet entered into force), and the purchase in France of the second tranche consisting of up to 18 Rafale multirole fighters (estimated cost of 18 aircraft it amounted to $2.9 billion). The contract for the second tranche of 18 Rafale fighters entered into force on August 10, 2023. Deliveries on it, however, will probably begin no earlier than 2027. Financial issues have now been settled and the contract for the final 18 Rafale fighters ordered by Indonesia has entered into force.
