Rachmat Gobel Ensures Japan Will Not Back Down From Investment In The Nusantara IKN Project

IKN Nusantara in East Kalimantan. (doc of the Ministry of PUPR)

JAKARTA - Deputy Speaker of the House of Representatives, Rachmat Gobel, said that Japan did not back down from its investment involvement plan in the development project for the National Capital (IKN) of the Archipelago in East Kalimantan.

Rachmat confirmed this after meeting with a number of Japanese politicians, senior officials and businessmen. Gobel flew to Japan to directly confirm the news about Japan's withdrawal in IKN construction.

“So, the rumors that Japan is withdrawing from IKN are not true. Japan wants to continue to contribute to the progress of Indonesia," said Gobel in his statement, quoted on Sunday, April 3.

During his visit to Japan, Gobel met with officials from JICA and JBIC, two institutions that are very important in investment and business matters.

According to him, the government plans to build IKN into a smart city. Therefore, he considers Japan's involvement in IKN development is appropriate.

Given, Japan is very experienced in building smart cities. Cities in Japan are very environmentally friendly and technologically advanced.

"So far, Japanese investment in Indonesia has never caused social friction because Japan does not bring a massive workforce, except for experts. Japan does not have a labor burden in its country so it does not need to be part of the agreement in every investment in other countries," said Gobel.

Furthermore, Gobel said that he also discussed Japan's strategic investments in Indonesia, such as the MRT in Jakarta, including the plan for the G-20 Summit in Indonesia which will take place in Bali in mid-November 2022.

"A lot of things were discussed. But one thing to remember, foreign investment is to strengthen the national economy," he said.