(ANN/STRAITS TIMES) – Investor interest in Indonesia’s proposed new capital, Nusantara, has surged following the confirmation of Defence Minister Prabowo Subianto as the country’s next president.
The Nusantara Capital Authority, headed by Mr Bambang Susantono, noted a significant uptick in foreign investor interest, with much of it originating from Singapore.
During the Indonesia-Singapore Business Forum 2024 at Hilton Singapore Orchard on March 27, Mr Bambang expressed optimism about increased investment opportunities. He highlighted President-elect Prabowo’s commitment to continue the development of Nusantara, initially spearheaded by outgoing President Joko Widodo.
The ambitious project, announced in 2019, aims to relocate Indonesia’s capital from Jakarta to East Kalimantan. It has drawn criticism over environmental concerns and skepticism about attracting foreign investment. However, Mr Bambang emphasised the project’s sustainability and continuity under the new administration.
The Nusantara Capital Authority has received 369 letters of intent from investors, with a majority originating from Singapore. Mr Bambang revealed that several Singaporean companies have shown substantial commitment to the project.
Construction progress has been significant, with key buildings like the presidential palace and offices nearing completion. The first phase of the project is expected to be finished by 2024, with housing for civil servants, armed forces, and police to be completed by July.
While environmentalists raise concerns about forest destruction and indigenous communities fear displacement, Mr Bambang assured efforts to ensure consensus and betterment for locals.
Nusantara aims to be sustainable and high-tech, with smart and green building standards being implemented. It aligns with international goals related to climate change and sustainable development, showcasing Indonesia’s commitment to progressive urban planning.
As Nusantara takes shape, Indonesia seeks to prioritise the well-being of its people and the preservation of its natural environment.
