UAE Company Interested In Building A 10 Hectare Mixed Use Area At IKN

JAKARTA - Head of the Capital Archipelago Authority (OIKN) Basuki Hadimuljono revealed that there was a new investment interest coming from a property company from the United Arab Emirates (UAE), namely Ayedh Dejem Group in the new capital city.

He said Ayedh Dejem Group had conveyed its investment commitment to carry out construction on an area of 10 hectares in the IKN area.

"The land is planned to be developed into a shopping center and a mixed-use area strategically located in an area without other shopping centers within a radius of 5 kilometers," Basuki said in his official statement, Thursday, May 15.

Basuki explained that the investment commitment was conveyed through the signing stage of the Secretariat (Non-Disclosure Agreement/NDA) with the IKN Authority on May 8.

Meanwhile, CEO of the Dejem Group Zed Ayesh explained, the construction of the mixed use project will be carried out in stages in line with the growth of the IKN area.

Not only that, he also conveyed Dejem Group's social commitment to participate in acquiring an additional four hectares of land, of which two hectares of which will be allocated for the construction of mosques to support the social and spiritual life of the people of the archipelago.

"We see IKN as a symbol of Indonesia's progressive and inclusive future. We firmly believe that investment in the archipelago is not only a business decision, but also a real contribution in building the center of civilization," he said.

Furthermore, Zed Ayesh hopes that the collaboration in IKN development will be the beginning of Ayedh Dejem Group's long-term business journey in the Indonesian market.

Even so, OIKN has not been able to reveal how much investment value will be disbursed by Ayedh Dejem Group.

The reason is, the investment interest is still in the NDA agreement.

Previously, the Head of OIKN, Basuki Hadimuljono, revealed that there was a wave of investment worth IDR 132 trillion that would enter the State Capital (IKN) of the Archipelago, East Kalimantan.

He explained that the jumbo investment flow would be realized using the Government and Business Entity Cooperation (KPBU) scheme or Public Private Partnership (PPP).

"There are jobs that are collaborated with business entities. So, with a public private partnership working with the government and business entities. There are several activities that we are currently processing, the total is IDR 132 trillion," Basuki said in an online press conference, Wednesday, April 23.