Indonesia begins first phase of new capital city development project

September 05, 2022 | 07:10

(0) user say

Indonesia’ Ministry of Public Works and Housing (PUPR) has started Phase 1 of the development of its new National Capital City (IKN) Nusantara located on East Kalimantan by signing a 19-package contract worth 5.3 trillion IDR (356 million USD) for 2022.

Jakarta - Indonesia’ Ministry of Public Works and Housing (PUPR) has started Phase 1 of the development of its new National Capital City (IKN) Nusantara located on East Kalimantan by signing a 19-package contract worth 5.3 trillion IDR (356 million USD) for 2022.

Indonesia begins first phase of new capital city development project

Nusantara - the new capital city of Indonesia. (Photo: futuresoutheastasia.com)

Secretary General of the Ministry of PUPR Mohammad Zainal Fatah said his ministry plans to develop basic infrastructure at IKN Nusantara from 2022 – 2024 with a total budget of 43.73 trillion IDR.

The 19 packages include six in irrigation and flood works worth 42.8 billion IDR; eight toll roads costing 4.59 trillion IDR; four resettlement areas estimated at 111.9 trillion IDR; and a housing project costing 667 billion IDR.

A contract for another 4 trillion IDR work package is expected to be inked on September 5.

Indonesian President Widodo first announced the plan to relocate the capital from Java, the country’s most populated island, in April 2019.

Months later, Widodo announced the districts of Penajam Paser and Kutai Kertanegara in East Kalimantan province to be the site of the new capital city.

With an area of about 127,000 sq.km, East Kalimantan is home to more than 3.7 million people.

The new capital will serve as the centre of government, while Jakarta, the current capital city, which is home to more than 10 million people, will remain the business and economic hub of Indonesia, Southeast Asia's biggest economy.

Indonesia plans to hike fuel prices next week: Minister

Indonesian President Joko Widodo may announce a fuel price hike next week to reduce spending on energy subsidies, said Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan on August 19.

Indonesia confirms first case of monkeypox

Indonesia has recorded its first case of monkeypox - an international traveller returning home from a country with confirmed cases.

Indonesia considers imposition of tax on nickel exports this year

Indonesia may impose a tax on nickel exports this year, as the country, the biggest producer of the electric-vehicle battery metal, looks to refine more at home, according to President Joko Widodo.

By VNA

What the stars mean:

★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional