"Next week, the start of construction or groundbreaking for private investors who do not use the state budget (will begin)," OIKN Deputy for Finance and Investment Agung Wicaksono said in the "Eight Years of National Strategic Projects" event in Jakarta on Wednesday.
Meanwhile, the progress of state-funded construction projects in IKN Nusantara has reached more than 46 percent, Wicaksono added.
Next week, private investors will start building hotels, hospitals, malls, and sports facilities outside of the state budget’s scheme.
"Private investment has entered IKN Nusantara; we will watch the groundbreaking next week," Wicaksono said.
The private investors who will conduct the groundbreaking in IKN Nusantara next month will be national investors, he informed.
The construction projects in IKN are not only aimed at making it an administrative capital city, but also a new economic center for growth.
"The construction of IKN is not only an opportunity for the national economy, but also a global opportunity. This is a rare opportunity in the history of the world. This is because the relocation of a capital city from one island to another has only happened in Indonesia," Wicaksono said.
Based on Law Number 3 of 2022 on the National Capital City, Indonesia has set a target to become the fifth-largest economy in the world and achieve the income per capita of a high-income country by 2045.
The targets are based on the four main pillars of the 2045 Indonesia Vision, which are human development and mastery of science and technology, sustainable economic development, equitable development, and strengthening national resilience and governance.
The relocation of the national capital is part of a strategy to realize the Indonesia 2045 economic target of realizing more inclusive and equitable economic growth through accelerated construction in Eastern Indonesia.
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Translator: Aji C, Azis Kurmala
Editor: Sri Haryati
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