PIK And BSD Officially Become PSN, Investment Value Estimated To Reach IDR 83.54 Trillion

Illustration of PIK

JAKARTA - The government has officially designated the Pantai Indah Kapuk (PIK) area and the Serpong Damai Integrated Area (BSD) as the National Strategic Project (PSN).

Spokesperson for the Coordinating Ministry for the Economy Haryo Limanseto said the investment value of the two PSN projects was estimated at IDR 83.54 trillion.

"All new PSN approved, all financing comes from private investors and does not need APBN support and is aimed at supporting policies to accelerate downstreaming, support connectivity, support national and regional economic development and equity, create jobs, and get sector ministry support," he explained in his official statement, Sunday, March 24, 2024.

The PIK 2 will be developed by the government through the development of Green Areas and Eco-City located in Banten Province. The development of green-based areas with an area of approximately 1,756 Ha is called "Tropical Coastland" and is intended as a green-based new tourism destination to increase attractiveness for tourists.

Meanwhile, this tourism destination is also designed to accommodate the Mangrove Tourism Area, which is a natural coastal security mechanism.

Haryo said the PSN PIK 2 project is estimated to have an investment value of around IDR 65 trillion and is expected to absorb around 6,235 direct workers and 13,550 workers as a multiplier effect.

In addition, the PIK 2 area will later be connected to the Kamal-Telukana-Rajeg Toll Road which was started in 2023.

The Green Area and Eco-City development projects are directly supported by the Minister of Tourism and Creative Economy taking into account the proposed location is very strategic because it is close to the Thousand Islands and Old Town National Tourism Strategic Areas (KSPN) Sunda Kelapa.

Haryo hopes that the project can open up business and investment opportunities, as well as create jobs for people in Banten Province and its surroundings.

Furthermore, Haryo conveyed that the development of tourism and the creative economy in the PIK 2 Tropical Coastland area will be carried out in stages with the plan to open phase I in the form of lakes and places of worship as Bhineka Park Tourism destinations no later than the 3rd quarter of 2024.

Furthermore, Haryo said the new PSN that will be developed by the Government is the Development of the Serpong Damai Integrated Area which is estimated to absorb an investment of IDR 18.54 trillion.

Haryo said this project was supported by the Minister of Health who had issued a Letter of Recommendation for the Development of Special Economic Zones in the BSD City Area.

According to Haryo, the development of the Integrated Area in Bumi Serpong Damai was not carried out in the entire BSD area, but only for areas with an area of around 59.6 Ha.

"The development of the area will focus on Digital Biomedicals Education. This project is in line with the plan to develop an Integrated Biomedical Campus in the area to support programs to develop quality education and quality health care (medical) nationally," he explained.

Haryo explained that this area will also be developed into a Special Economic Zone (SEZ) that develops Education, Health Research, Digital Economy, Technology Development, Health and Biomedical Services.

"The Biomedical Area development in BSD is targeted for the next 30 years. For the first milestone in 2024, namely with the Grand Opening BioMedical Campus in 2024," he said.

Furthermore, Haryo said that the area prepared as SEZ 1 (east security) has now been passed by the Serpong Balaraja Toll Road and the SEZ 2 (west disaster) area will also be passed by the Serpong Balaraja section 1B Toll Road.

Haryo said that this project is also expected to be able to absorb 10.065 people directly or indirectly with an estimated foreign exchange savings of IDR 10.1 trillion and foreign exchange gain of IDR 5.6 trillion from the development of health and Biomedical services.

"PSN coverage itself is not only focused on physical infrastructure development, but also ensures improvement in economic equity, food supply, border development, technology, tourism to education," he said.