President Widodo begins work in new capital, unveils special rights for investors in Nusantara

On July 29, Indonesian President Joko Widodo began work at the new Presidential Palace in the future capital Nusantara.

Nusantara, which will start construction in June 2022, is Indonesia's flagship project aimed at solving Jakarta's problems, including traffic congestion and land subsidence. (Source: CNBC Indonesia)

Speaking to reporters at the new Presidential Palace (Garuda Palace), Mr. Widodo said, "Today, I began receiving officials for meetings at this Presidential Office."

Jakarta is currently working to complete core infrastructure projects in the future capital Nusantara (IKN), located in East Kalimantan province on Borneo island, before Independence Day (August 17).

The Indonesian President stressed that to support the relocation, the government is preparing all necessary furniture for the President's office, including desks, chairs and lighting systems.

However, the progress of construction is currently being questioned. Most of the buildings in the new city are still unfinished, of which Garuda Mansion is 88% complete.

The estimated cost of the IKN project is 33 billion USD, of which the state budget accounts for about 20% for basic infrastructure, the remaining construction resources rely mainly on investment from the private sector.

In an effort to attract more resources, earlier this month Mr. Widodo signed a document granting investors certain rights, including land use rights for up to 190 years in the new capital.

Public Works and Housing Minister Basuki Hadimuljono, who serves as IKN's chief executive, said the government is working to provide an additional 40 megawatts of electricity to the city and a 10 megawatt solar power plant is already under construction in Nusantara.

There are questions about when the move will be made official, as Widodo has yet to issue a decree and Jakarta remains the national capital. The decree will likely be signed by President-elect Prabowo Subianto, who is expected to take office on October 20.

Construction of the new capital began in mid-2022, after Mr Widodo announced that Jakarta would no longer be Indonesia's capital, citing pollution, traffic congestion and the risk of earthquakes.

Source: https://baoquocte.vn/tong-thong-widodo-bat-dau-lam-viec-tai-thu-do-moi-he-lo-trao-quyen-dic-bien-cho-nha-dau-tu-tai-nusantara-280661.html