OIKN Head: AIIB Sees IKN As A Strategic Project With Great Potential

Atmosphere at KIPP Nusantara City, the capital city of Indonesia in Sepaku District, North Penajam Paser Regency, East Kalimantan Province. (ANTARAPHOTO/Aditya Nugroho)

The Capital Archipelago Authority (IKN) revealed that the Asian Infrastructure Investment Bank (AIIB) sees IKN as a strategic project with great potential, and there is potential funding from AIIB for IKN up to 1 billion US dollars.

"We are optimistic that with the support of AIIB and other strategic partners, as well as taking into account the valuable input from this meeting, we can realize IKN as the capital city of a modern, green and inclusive country," said OIKN Chief M. Basuki Hadimuljono in Jakarta, Friday.

OIKN welcomes the President and Chairman of the Board of Directors of the Asian Infrastructure Investment Bank (AIIB), HE Jin Liqun, and their ranks to discuss potential funding and collaboration in the development of the capital city of the archipelago.

This meeting marks an important step in realizing IKN's vision as a smart and sustainable city.

In this meeting, Basuki explained in detail about the potential for strategic projects in IKN as well as the funding scheme to be implemented.

The main focus of the presentation is the development of IKN as the Capital City of State Politics in the period 2025-2029.

This includes the construction of parliamentary buildings and their supporting ecosystems, which are a priority in moving the center of government to IKN.

"We describe various strategic projects that will be developed at IKN, with a focus on developing core infrastructure that supports the IKN target as the State Political Capital in 2028. In addition, we also describe the funding scheme that we will use, which includes a combination of funding from the APBN, private investment, KPBU, and creative financing," said Basuki.

During the meeting, it was discussed about the importance of clarifying the stages of IKN development (Map Plan) in the next five years, as well as the need for integration of social and commercial housing in the Central Government Core Area (KIPP) to create crowds and dynamics.

OIKN is currently coordinating with the Ministry of National Development Planning/National Development Planning Agency of the Republic of Indonesia (PPN/Bappenas) to ensure that all relevant IKN projects are included in the Bluebook.