Ervana Trikarinaputri, Jakarta – Indonesian President Prabowo Subianto has signed a presidential regulation formally designating Nusantara Capital City (IKN) in East Kalimantan as Indonesia's political capital by 2028.
The policy is outlined in Presidential Regulation (Perpres) No. 79 of 2025 on Updating the Government's 2025 Work Plan.
The regulation, enacted on July 30, 2025, and effective the same day, states: "The planning and development of Nusantara, along with the relocation process, is carried out to support the realization of Nusantara as the political capital in 2028."
According to the annex, the plan includes constructing the Core Government Center (KIPP) and surrounding areas, covering 800-850 hectares.
Targets include completing 20 percent of office buildings, developing 50 percent of affordable and sustainable housing for residents, and ensuring 50 percent availability of basic infrastructure. The regulation also sets an accessibility and connectivity index for IKN at 0.74.
The decree further outlines benchmarks for governance, including the transfer or assignment of 1,700 to 4,100 civil servants to Nusantara and the rollout of smart city services, covering at least 25 percent of the area.
"The transfer of state officials and the establishment of a smart government system in Nusantara are key to realizing the capital's role by 2028," the regulation notes.
Earlier this year, Head of the Nusantara Capital Authority (OIKN) Basuki Hadimuljono said Prabowo had set a clear target.
"The President conveyed two days ago that Nusantara will become the political capital in 2028," Basuki said during a visit with the People's Consultative Assembly (MPR) and Regional Representatives Council (DPD) to Nusantara on January 24, 2025, as quoted by Antara.
To meet this goal, Basuki said Prabowo instructed OIKN and the Ministry of Public Works to review designs for legislative and judicial office complexes.
"He has tasked us to complete the judicial ecosystem, offices, and housing so that by 2028, Nusantara can truly function as the political capital, not only for the executive but also for the judiciary and legislature," Basuki explained.
The president has also approved a state budget allocation of Rp48.8 trillion for IKN development during 2025-2029.
MPR Chair Ahmad Muzani emphasized that the term "political capital" means Nusantara will serve as the nation's core seat of government.
"All executive, judiciary, and legislative activities will be based in Nusantara. This direction also reflects the Prabowo administration's commitment to realizing the IKN project," Muzani said.