Due To The COVID-19 Pandemic, The Government Officially Postponed The New Capital Project Until 2021

Minister of National Development Planning (PPN) / Head of Bappenas Suharso Monoarfa. (Photo by: Setkab)

JAKARTA - The Minister of National Development Planning (PPN) / Head of Bappenas Suharso Monoarfa confirmed that the project to move the new state capital (IKN) from Jakarta to East Kalimantan was postponed until next year. This delay is the impact of the COVID-19 pandemic. In fact, the relocation plan will begin this year.

"Until today (the plan to move) the capital city of the country, the program is still on hold (postponed)," he said, at the Parliament Complex, Senayan, Jakarta, Tuesday, September 8.

According to Suharso, even though the construction is postponed, his party will continue to discuss the master plan until the construction of basic infrastructure in cities around the new IKN.

"We are still in preparation, and we are continuing the master plan and basic infrastructure development in buffer cities such as Samarinda and Balikpapan," he said.

The budget for basic infrastructure development is included in the national development planning program of IDR 831.4 billion. Meanwhile, in 2021, the total budget proposed by Bappenas is IDR 1.7 trillion.

The amount of the proposed budget for 2021 is still lower than this year's budget of IDR 1.8 trillion. The 2021 budget consists of IDR1.62 trillion in pure rupiah, IDR84.47 billion in loans and IDR65.41 billion in grants.

For your information, the overall work program for moving the new capital city is as follows:

1. In the period 2019-2021, the drafting of the urban design area.

2. Year 2020-2023 PUPR technical planning and infrastructure development.

3. In 2020-2024, the competition and construction of the Presidential Palace, Vice President, MPR / DPR / DPD Complex and ministerial / institutional offices.

4. The process of moving the nation's capital city will be carried out gradually, starting from 2024 to 2045.