"Regarding the benefits obtained by the people in Kalimantan, the capital city relocation will encourage economic growth in East Kalimantan, especially Balikpapan and, more specifically, the North Penajam Paser District," he stated during the plenary cabinet meeting at IKN Nusantara on Monday.
He remarked that 58 percent of the economy's gross domestic product (GDP) is in Java so far. Hence, he aims to realize equality so that regions outside Java Island can also benefit from economic circulation.
"One of the reasons for the capital city relocation is realizing equality. Since 58 percent of the economic GDP is still in Java, we want regions outside Java to experience economic circulation as well," the president elaborated.
Apart from economic circulation, the president also noted that population problems were a reason for the capital city's relocation.
Related news: Nusantara Capital City to boost equitable economy: Indonesian minister
"Java has a very large population, with 56 percent of the population living on the island. This has become one of our considerations for relocating the capital city. Jakarta has a dense burden of population," he remarked.
On Monday, the head of state chaired the first plenary session with ministers of the Onward Indonesia Cabinet at the Garuda Palace, IKN, East Kalimantan.
The Presidential Secretariat's deputy for Protocol, Press, and Media, Yusuf Permana, stated on Sunday that Jokowi will return to the office in IKN in the next few days to hold the first plenary cabinet meeting and groundbreaking for several supporting infrastructures.
Four domestic private investors -- BCA, Swiss-Belhotel, Royal Golden Eagle, and Intiland -- will attend the groundbreaking for the seventh phase of the investor project in IKN.
Related news: IKN development spurs economic growth in eastern Indonesia: ADB
Translator: Benardy F/Mentari Dwi, Resinta S
Editor: Yuni Arisandy Sinaga
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