Boeing Agrees To F-15 Payment Plan

Boeing has agreed to Indonesia’s financial package to buy F-15s, and the two sides are in advanced stages of negotiations ahead of a political decision by the country’s government to finalize the purchase.

Indonesian Defense Minister Prabowo Subianto, appearing alongside U.S. Defense Secretary Lloyd Austin Nov. 21 in Jakarta, says “everything is in place” for the country’s proposal. He has said Indonesia would pay for the jets in installments, as the country’s defense budget will not support paying all at once.

“I am responsible for defense; the political decision is, what they say in the U.S., above my pay grade,” he says.

Prabowo says the defense ministry and Boeing have designed a program that it is confident in, and he has advised his government that it is affordable because the aircraft will be used for at least the next 25-30 years. The deal has previously been estimated to cost about $13.9 billion for 36 aircraft, engines, radars and sensors.

“I think now it will be dependent on the Indonesian government to finally decide to go ahead at this time,” he says. Prabowo added that the government needs to weigh the costs along with other factors such as controlling COVID-19, environmental concerns and inflation.

Austin says the U.S. supports Indonesia’s plans to modernize its military and wants to assist in any way it can. The U.S. State Department in February approved the potential export of the aircraft, using the identifier F-15ID. Officials have said it is a national variant of the U.S. Air Force’s F-15EX.

“The acquisition of the F-15 certainly increases interoperability. It enables our ability to share information,” he says. “As we train on these platforms, we will train together to make sure we are using common policies and practices, and that will increase the overall capability … I think this platform brings a lot, if the leadership decides to go that route and I hope they do.”

The potential purchase of F-15s is part of Indonesia’s broader modernization effort, which also could include the delivery of new C-130J-30s and the recapitalization of F-16s, in addition to purchases of Dassault Rafales and Airbus A400Ms.