THE Nusantara Capital Authority (IKN) noted that total private investment in the entertainment sector in the Archipelago Capital has reached IDR20 trillion or almost a quarter percent of total development funding for the private sector.

“For those from the private sector, earlier there were already IDR20 trillion. This is mainly play, meaning entertainment, hotels, and so on, including green open spaces,” said Deputy for Funding and Investment at the IKN Authority, Agung Wicaksono, after being a speaker at the ASEAN Investment Forum Day 2 in Jakarta, Sunday (9/03), 2023.

Agung further revealed that his party had received 270 investment interests from potential investors or letters of intent (LOI) for IKN both from within the country and outside Indonesia.

“Most of the number one companies are from Indonesia, more than half. Then from ASEAN, there are Singapore and Malaysia. The others are Japan and Korea,” he said.

Specifically for ASEAN, namely Malaysia, there are two property companies that have committed to building 20 apartment towers or flats in IKN. The two companies are currently conducting a feasibility study and then waiting for an evaluation from the government before obtaining permission to start construction.

“For Singapore, they are most interested in renewable energy (renewable energy), then waste processing,” he added.

Meanwhile Deputy Agung conveyed that the National Medium Term Development Plan (RPJMN) 2020-2024 stated that IKN funding needs amounted to IDR466 trillion which was divided into three funding indications, namely APBN amounting to IDR90.4 trillion, business/private entities amounting to IDR 123.2 trillion, and PPP amounting to IDR252.5 trillion.

Private funding, which is dominated by the domestic private sector, mainly goes to zone 1A which will be the location for the construction of the Presidential Palace and several ministerial offices.

“Area 1 is like around the palace, Monas, and so on. We will focus on that there first, KIPP (Central Government Core Area) is arranged for around 6,000 hectares. Then we will focus on KIPP again on area 1A, this is just 1A, we are targeting 2024 after that there will be many more,” he concluded. [sources/photo special]