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New Capital Authority: 167 investors commit to development LOI

Tempo - April 14, 2023

Moh Khory Alfarizi, Jakarta – The new capital city (IKN) authority on Friday revealed its latest list of 167 investors that have sent letters of intent (LOI) to participate in the development of Jakarta's replacement in the East Kalimantan Province of Penajam Paser.

New capital city authority Bambang Susantono said the government issued a special policy under Government Regulation No. 12/2023 concerning the 'Granting Business Permits, Ease of Doing Business, and Investment Facilities for Business Players in the Capital City of Nusantara.'

"The aim of this policy is to provide certainty, opportunity, and greater participation for business actors to accelerate the development of the Archipelago's Capital," he said in a written statement on April 14.

Out of the 167 investors, five of them have received a letter to proceed from the government to build housing for civil servants (ASN), which includes PT Summarecon Agung Tbk (SMRA), Consortium Nusantara (CCFG Corp and RBN), Korean Land and Development, Consortium PT Perintis Triniti Properti Tbk (TRIN), and PT Nindya Karya (Persero).

He also claimed neighboring countries have shown high interest in the new capital construction, one of Indonesia's ambitious national projects. Bambang said it is evident from the Korean, Japanese, and Swiss delegations who visited IKN directly to observe the development and explore investment opportunities. Included in the Japanese delegation were entrepreneurs engaged in the building and housing sectors.

The Indonesian government's policy is deliberately designed so that IKN is not only the center of the government but also the center of Indonesia-centric economic activity. Bambang hopes that business actors can help make this city a center for providing infrastructure and economic activity which will become a locomotive for economic growth in Indonesia's future.

Source: https://en.tempo.co/read/1714903/new-capital-authority-167-investors-commit-to-development-lo