President Jokowi Announces Location of New Capital City

Jakarta, MINA – Indonesian President Joko Widodo (Jokowi) has finally officially announced the location of the new capital city in two regions, Penajam Paser Regency and Kutai Kartanegara Regency (Kukar), East Kalimantan.

This was said in his official statement at the State Palace, Central Jakarta, Monday, August 26th, which was broadcasted through the official Youtube channel of the State Secretariat.

“The most ideal location of the new capital city is in the North Penajam Paser Regency and partly in the Kutai Kartanegara Regency, East Kalimantan Province. The government has conducted in-depth studies that have intensified their studies in the last three years, “he said.

Jokowi revealed the reason why the capital city had to move. First, Jakarta’s burden is already too heavy as the center of government, business center, financial center, trade, and service center. Also, the largest airport and seaport in Indonesia.

Second, the burden of Java is getting heavier, with a population of 150 million or 54 percent of the total population of Indonesia, and 58 percent of Indonesia’s economic GDP is in Java as a source of national food security.

“This burden will be heavier if the capital city of the government stays in Java,” said the former Governor of DKI Jakarta.

He emphasized that the government could not continue to let the burden of Jakarta and the burden of the island of Java be so heavy in terms of population density, traffic congestion that was already severe, air pollution, and water emergencies that must be addressed immediately.

“Economic disparities between Java and other islands have continued to increase, although since 2001 regional autonomy has been carried out.

Jokowi said the total need for a new capital city reached around Rp 466 trillion. Later, 19 percent will be taken from the State Budget (APBN) derived from the cooperation scheme of asset management in the new capital and in DKI Jakarta.

“The rest will come from the Government and Business Entity Cooperation and private direct investment and SOEs,” he said.

In addition, Jokowi also revealed the reason why choosing East Kalimantan as the ideal new capital city. First, the risk of disaster is minimal, both floods, earthquakes, tsunamis, forest fires, volcanoes, and landslides.

Second, the strategic location is in the middle of Indonesia. Third, close to cities that have developed, namely Balikpapan and Samarinda. Fourth, they have a relatively complete infrastructure. And fifth, it has 180 thousand hectares of government-controlled land.

“The construction of this new capital city is not the only attempt by the government to reduce economic disparity in Java and other islands. In addition, the government will also conduct industrialization in locations outside Java based on the downstream of natural resources, “he said.

Jokowi stressed Jakarta will continue to be a business city, financial city, trade center, and regional and global service center. (L/R06/P2)


Mi’raj News Agency (MINA)