North Penajam Paser (ANTARA) - The development of the new capital city of Nusantara (IKN) in East Kalimantan has had positive economic impacts on residents of coastal areas in Penajam Sub-district, according to a local figure.

"The development of Nusantara City positively affects buffer zones in a number of villages in Penajam Sub-district," said Setta, a local community figure, on Saturday.

The government is working on some supporting facilities and infrastructure projects, including a VVIP airport and toll roads connecting Nusantara to Balikpapan and Samarinda.

Setta said the construction works on Indonesia's future seat of government have provided economic benefits to people living in Penajam's villages of Maridan, Gersik, and Pantai Lango.

Setta said local residents in the villages had been reaping profits by meeting the basic needs of IKN construction workers, such as those related to accommodation and food.

In Pantai Lango Village, some 15-20 barrack-styled houses owned by local residents are being rented to construction workers for up to Rp15 million (around US$961) per year.

Setta said that three families in Pantai Lango had been providing packages of food for breakfast, lunch, and dinner to around 250 construction workers. They are offering the food for Rp20,000 to Rp25,000 (around US$1.60) per package.

Noting that most of the people in the village are fishermen, the local figure said that the development of Nusantara had led to a surge in the demand for fish.

Moreover, the government is also hiring some of the local fishermen to work as additional laborers for several projects, especially when the weather becomes unsuitable for sailing.

"Thanks to the development of IKN, the residents of Pantai Lango Village can generate additional income," Setta said.

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Translator: Nyaman B, Tegar Nurfitra
Editor: Anton Santoso
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