STRATEGIC ASSESSMENT. President Jokowi said that it was time to move the capital because most of Indonesia’s population resides in Java. The construction of the new capital, Nusantara, would encourage economic growth outside the island. Jokowi also said many countries were interested in investing in the project, including the United Arab Emirates, Japan, and Saudi Arabia.
Indonesia has proposed to parliament to allocate 20.8 trillion rupiah ($1.41 billion) to build basic infrastructure at a planned location for its new capital city on Borneo island, Public Works Minister Basuki Hadimuljono said on Tuesday.
This year’s allocation for the new capital city project is 5.4 trillion rupiah, he told a news conference, adding that the government in total plans to spend 43 trillion rupiah from 2022-2024 for the project.
President Jokowi on Tuesday called to ensure continuity in the construction of Nusantara capital city in East Kalimantan. Jokowi said the new capital city will not solely be an ordinary city but a jungle city, with world-class education and health services.
Indonesia celebrated its first Independence Day at its future capital in the ancient rainforests of eastern Borneo on Wednesday as the nation plans a move away from slowly sinking, traffic-clogged Jakarta.
The government is preparing to ramp up infrastructure projects to open the doors to the city — which will cover about 56,180 hectares on Borneo island — by the time President Jokowi leaves office in 2024.
“The main point is to take the spirit of the 77th Independence Day to strengthen our resolve and spirit to build the new capital,” said State Capital Authority Chair Bambang Susantono, who will govern the new city.
