Deputy Minister of Finance Suahasil Nazara said on Monday that the total allocation for Nusantara's development from 2022 to 2024 was Rp75.8 trillion (nearly US$4.7 billion).
Specifically, the budget realization stood at Rp5.5 trillion in 2022 and Rp27.0 trillion in 2023, while provisional realization reached Rp43.3 trillion in 2024.
"We see that spending has actually started since 2022, while economic growth in 2023 in the Kalimantan region was the highest among all regions," Nazara pointed out at a press conference on the 2024 State Budget in Jakarta.
He said that the budget was used for several strategic projects in Nusantara, including the construction of buildings in the State Palace area and areas for coordinating ministries as well as other ministries.
The funds were also allocated for the construction of offices for the Nusantara Capital Authority (OIKN); tower houses for civil servants, as well as the National Armed Forces and National Police personnel; landed housing projects for ministers; hospitals; and the construction of toll roads, main roads, bridges, and an airport.
The allocation from the state budget was also used for the development of the Sepaku Semoi Dam, a reservoir in the Central Government Core Area (KIPP), and flood control in Nusantara.
Nazara emphasized that the development of Nusantara has so far had a significant positive impact on the economy of East Kalimantan.
The economic growth in the province climbed from 4.5 percent in 2022 to 6.2 percent in 2024 and remained at 6.2 percent in the third quarter of 2024.
In addition, the open unemployment rate in East Kalimantan fell from 5.71 percent in 2022 to 5.14 percent in 2024. The development of Nusantara also created 129,000 new jobs in the region.
"This is proof of how the state budget and regional budget can work hand in hand to develop the region," Nazara added.
Related news: Feasibility study for immersed tunnel in Nusantara completed: OIKN
Related news: President Prabowo to launch new IKN investment projects in 2025
Translator: Bayu Saputra, Yashinta Difa
Editor: Anton Santoso
Copyright © ANTARA 2025
