The Authority Records China's Investment In IKN Of Nearly IDR 70 Trillion, Working On The Housing Sector To Road

The visit of the Ambassador of the People's Republic of China to Commit Investment in IKN (doc. IKN).

JAKARTA - The value of Chinese investment in the capital city of Nusantara (IKN), East Kalimantan, has reached around Rp. 70 trillion, including the housing sector, the Integrated Unique Mode (MUT), and road construction.

This was revealed when the Deputy for Funding and Investment of the IKN Authority, Agung Wicaksono, received the arrival of the Ambassador of the People's Republic of China to Indonesia, HE Wang Lutong, at IKN recently.

"The consortium and Chinese companies have invested nearly IDR 70 trillion in this IKN."

"This is a big trust. The ongoing investment will continue and continue to explore other potential investments," Agung said as quoted from his official statement, Thursday, May 29, 2025.

Agung said that China's investment in IKN was IDR 68.4 trillion in the form of Government and Business Entity Cooperation (PPP).

In detail, there is a large consortium that is developing the KPBU MUT project and roads, namely CHEC-IJM amounting to Rp27.1 trillion.

Then, there is the CSCEC-CREC consortium which is also developing the KPBU MUT project and roads worth IDR 27.9 trillion.

Currently, the two projects are still in the stage of a feasibility study which will be evaluated by the KPBU Committee of the IKN Authority. Then, a market sound will be carried out before entering the final auction stage.

Furthermore, there is a housing KPBU project in the form of building 20 flat towers for State Civil Apparatus (ASN) in the WP 1B area from the IJM-CHEC consortium.

The estimated value of the ASN flat project reached IDR 13.4 trillion and is currently being evaluated by the IKN Authority.

In addition to investment in the form of PPP, there is also direct foreign investment of IDR 500 billion from PT Delonix Bravo Investment.

Foreign direct investment from PT Delonix Bravo Investment has started the construction of Delonix Nusantara Commercial Complex in September 2024.

The complex stands on an area of 24,200 square meters and will present environmentally friendly hotels, service apartments, retail rooms, offices, sports facilities, and green open spaces.

As for May 26, 2025, Agung said, his party had received 36 Letter of Interest (LoI) from China, 32 of which were for the KPBU scheme and four LoIs for direct investment schemes.

"The sectors in demand include energy, housing, digital, waste management, transportation infrastructure, basic infrastructure, green industry, lifestyle, to media and broadcasting," he said.

Meanwhile, the Ambassador of the People's Republic of China to Indonesia, HE Wang Lutong, also appreciated the progress of IKN development. According to him, China sees IKN as a strategic opportunity to invest in the Southeast Asia region.

Later, said Wang Lutong, his party will encourage more Chinese companies to contribute to the construction of the new capital city.