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View all search resultsWhile some residents have welcomed the Nusantara Capital City (IKN) project in North Penajam Paser regency, East Kalimantan, others have been complaining that their villages are now plagued by problems commonly found in big cities, ranging from rising crime rates to a lack of clean water.
The country is counting the days until Nusantara, the planned future national capital and President Joko "Jokowi" Widodo's legacy project, is showcased at the state's 79th Independence Day celebration. The city is still far from being finished, but it has already fueled economic growth in its surroundings, with locals reaping some of the benefit.
Bappenas head Suharso Monoarfa confirmed with The Jakarta Post on Wednesday that the capital relocation plan had been suspended for the time being, since the pandemic had forced the government to shift its policies.
The central government is expediting the establishment of regulations and a master plan for the new capital, which will be built in North Penajam Paser and Kutai Kartanegara regencies, East Kalimantan.
At least 422 residents of Penajam district in North Penajam Paser regency – the planned location of Indonesia’s new capital in East Kalimantan – have been affected by floods that hit the area on Tuesday morning.
Indonesia’s new capital city will only contribute an additional 0.02 of a percentage point to the country’s economic growth, and the impact will also be short lived, according to Institute for Development of Economics and Finance (Indef) research.
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