In a statement issued here on Monday, the deputy chairperson of Kadin's committee to improve the use of domestic products (P3DN), Ikhwan Primanda, said that hundreds of thousands of ASNs who will move to IKN could form thousands of housing co-operatives.
Co-operatives could help reduce the burden on the state budget, considering that the IKN is applying the costly concept of smart-vertical housing.
As many as 47 residential towers are being built by the Ministry of Public Works and Public Housing (PUPR) at a cost of Rp 9.3 trillion in the new capital.
According to Primanda, the involvement of co-operatives in building housing at IKN could accelerate the transfer of civil servants to the new capital.
The economic activities of co-operatives at IKN could start from residential development, and then expand to other services such as trade, culinary, accommodation, and transportation.
Primanda said that like housing developers in general, the initial capital for housing co-operatives is land, which can be handed over by the government as compensation for the willingness of ASNs to move and start a new life in the forest city.
"In order for co-operatives to continue to grow, every time the government issues business licenses to large investors, it must also give concessions or similar permits and financial facilities to co-operatives," he added.
The co-operative development model, if carried out side by side with private corporations, will help the IKN economy to grow independently, he added.
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Translator: Shofi, Kenzu
Editor: Azis Kurmala
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