Jakarta (ANTARA) - The Public Works and Public Housing (PUPR) Ministry prepared a budget of Rp90 billion (US$5.5 million) to compensate people whose land parcels are affected by the development of Nusantara Capital City (IKN), East Kalimantan.

In a statement received here on Saturday, PUPR Minister Basuki Hadimuljono noted that the government had established an integrated team comprising officials from his ministry, the IKN Authority (OIKN), and the National Land Agency (BPN) to distribute the compensation funds.

"The team has been dispatched," he remarked.

Hadimuljono, also serving as the OIKN acting head, remarked that Presidential Regulation No.75 of 2024 concerning the acceleration of Nusantara's construction stipulates that those affected by the development can either opt for compensation or relocation.

"We will ask the people what they prefer. This signifies our genuine care for their interests. I have also asked Madam Finance Minister for permission to allow the PUPR Ministry to pay (the compensation) there (at IKN) to assist the OIKN," he stated.

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He remarked that the budget would be allocated to compensate people whose lands are used for the construction of Section 6A and Section 6B of the IKN toll road and the Sepaku River flood control project.

The OIKN has expressed its commitment to speeding up the development of Indonesia's future capital city without harming local residents, in accordance with President Joko Widodo's (Jokowi's) instructions.

During a meeting at Nusantara's Garuda Palace on July 29, the president told his aides to ensure people's active participation in the development of the city.

"It is necessary to prioritize people's participation in the construction of the IKN. We cannot afford to leave people feeling marginalized or force eviction on them," Hadimuljono quoted Jokowi as saying after the meeting.

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Translator: Aji C, Tegar Nurfitra
Editor: Yuni Arisandy Sinaga
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