Jakarta (ANTARA) - Indonesia's Investment Minister Bahlil Lahadalia has confirmed that private investors will start realizing their investment in the new capital Nusantara (IKN) in August–September 2023 after the completion of basic infrastructures.

"(Private) investment in IKN will commence in August or September after the completion of (basic) infrastructure. The ongoing project is basic infrastructure development, which is (being undertaken using) the government's investment," Lahadalia, who is also heading the Investment Coordinating Board (BKPM), said.

Speaking to journalists after attending the 2023 Indonesia-China Smart City Technology and Investment Expo here on Wednesday, he said many private investors have conveyed their commitment to investing in the new capital.

However, he did not disclose further details about the investors.

In attracting private investments to enter, the new capital's basic infrastructure is being completed. "Do not doubt us; there are investments (in the new capital)," the minister said.

Lahadalia informed that infrastructure development in various sectors in the new capital, such as schools and universities, health facilities, housing complexes, and sports facilities, will take place in parallel.

A financial center will also be developed at IKN to allow foreign investors to enter Indonesia directly without the need for a third country or a hub, he said.

Earlier, Nusantara Capital Authority (OIKN) Head Bambang Susantono affirmed that the development of the new capital in East Kalimantan has remained on track.

"I also invite our colleagues who are yet to visit the development site to see with their own eyes because to see is to believe," he stated in his remarks during an event held to disseminate information about Government Regulation No. 12 of 2023 on Tuesday (May 23, 2023).

The capital authority head said that many domestic and foreign delegates have visited the new capital’s site to observe ongoing development.

Investors and other stakeholders are responding positively after observing the development progress of the new capital on the ground, he added.

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Translator: Kuntum K Riswan, Nabil Ihsan
Editor: Rahmad Nasution
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