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Analysis: Will Prabowo prioritize plans for Nusantara?

Tenggara Strategics (The Jakarta Post)
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Jakarta
Tue, December 31, 2024

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Analysis: Will Prabowo prioritize plans for Nusantara? A worker walks in front of the State Palace on Nov. 10, 2024, at the government offices complex in the Nusantara Capital City (IKN) in North Penajam Paser, East Kalimantan. President Prabowo Subianto has said that within the next five years, he will make the new capital city the center of government political activities, where most of his administration’s executive, legislative and judicial activities will take place (Antara Foto/M Risyal Hidayat)

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elocating Indonesia’s capital from Jakarta to Nusantara in East Kalimantan remains a highly ambitious but increasingly uncertain project. Although President Prabowo Subianto expressed his commitment to continuing the project initiated by his predecessor Joko “Jokowi” Widodo, it may be put on the back burner in favor of more pressing projects, such as his flagship free nutritious meals and food estate programs.

Prabowo has affirmed his pledge to complete Jokowi’s legacy of the capital relocation project, albeit with a longer timeline. The President has set a target to begin working in the future capital city Nusantara by Aug. 17, 2028, or 2029 at the latest, once all essential government facilities, including executive, legislative and judicial offices, are in place. His administration cites the need for readiness and functionality as key reasons for delaying the full relocation.

Prabowo also publicly emphasized the strategic importance of the relocation, particularly considering rising sea levels threatening Jakarta. During the Group of 20 summit in Brazil, he reiterated the need for the new capital to mitigate climate change risks and reduce the strain on Java’s resources.

Despite his public support, critics have pointed out that Prabowo’s administration has reduced the urgency of the project, as evidenced by the downsized budget for 2025, allocated at Rp 15 trillion (US$931 million) compared with the 2024 mark of Rp 44 trillion.

At the very least, Prabowo enacted Law No. 151/2024, which amends Law No. 2/2024 regarding Jakarta’s status, which has changed from the special capital region to a special region.

Moreover, the Public Works Ministry has reported progress in developing Nusantara’s Central Government District (KIPP). By the end of 2024, approximately 61.7 percent of the infrastructure, comprising 109 development packages costing Rp 89 trillion, has been completed. Key achievements include the near operational readiness of the executive infrastructure, with plans for the first wave of civil servants to relocate in early 2025.

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However, other critical facilities such as legislative and judicial infrastructure are still under development. According to Deputy Public Works Minister Diana Kusumastuti, the government is prioritizing these projects to ensure Nusantara’s functionality as a political capital by 2028.

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