STRATEGIC ASSESSMENT. Nusantara will be inaugurated next year as the capital city of Indonesia and it wants more Korean companies to help build the city, according to Mohammed Ali Berawi, the head of green and digital transformation for the new capital project at a forum.
“The Indonesian government is already working closely with Korean companies like LG and Hyundai Motors in terms of digitalizing and creating the traffic system for urban air mobility,” Berawi said at the forum to discuss future collaboration of Korea-Indonesia industry at Hotel Mulia Senayan.
Many nations are engaged in ambitious urban planning endeavors and the creation of new capital cities. Nusantara, Indonesia, is the latest in a series of modern cities that have sprung up across Asia. The government aims to create a model capital city based on the principles of liveability and green urban development on the island of Borneo.
Indonesia seeks to relocate its capital due to flooding, land subsidence, overpopulation and congestion in Jakarta, located on the island of Java, where 60 per cent of the country’s population of close to 280 million lives. Nusantara will also play a role in rebalancing the country’s economy, and redistributing economic growth outside Java. But how can the government get such a complex endeavor right?
Nusantara Capital City Authority (OIKN) Deputy Chair Agung Wicaksono said that Stanford University plans to invest in the new capital by establishing a sustainability school, as the international university has submitted a letter of intent (LoI) to the Authority. OIKN disclosed that the LoI for sustainable school development or the Stanford Doerr School of Sustainability in Nusantara from Stanford University in the United States was a breakthrough in the education sector.
President Jokowi laid the foundation stone for the first-ever hotel in the future national capital, Nusantara, located in East Kalimantan. This landmark hotel, aptly named “Hotel Nusantara” after the emerging capital, is being developed by a consortium of prominent Indonesian business magnates, spearheaded by Sugianto Kusuma, also known as Aguan.
The consortium led by property giant Agung Sedayu Group also includes Salim Group, Sinar Mas Group, Pulauintan, Adaro, Barito Pacific, Astra Group, Mulia Group, Alfamart Group, and Kawan Lama Group. In his opening remarks, President Jokowi expressed his gratitude to Aguan and his associates for their presence and for instilling investor confidence in Nusantara. The construction of Hotel Nusantara is estimated to require an investment of IDR 20 trillion ($1.3 billion).
