Following The Highlights Of SoftBank And Russia's 'Farewell' News From IKN, PKS DPP Chairman Mardani Ali Sera: Hopefully It Won't Be A Snowball Effect

Prosperous Justice Party (PKS) politician, Mardani Ali Sera (Photo: Twitter @MardaniAliSera)

JAKARTA - PKS DPP chairman Mardani Ali Sera also responded to SoftBank's departure from the new capital city project. According to him, this is a sign that it is not easy to attract investors to Indonesia, especially to invest their money in the IKN Nusantara project. "This is a sign that it is not easy to find investors who are interested in IKN. Investors are always looking for money from any project," said Mardani to VOI, Sunday, March 13. The member of Commission II of the DPR hopes that SoftBank's move to withdraw from the IKN project will not be followed by other potential investors. "Hopefully it won't have a snowballing effect. Because we hope that the state budget funds can be carefully maintained," said Mardani.

Previously, the Head of the National Capital Communications Team (IKN), Sidik Pramono, responded to SoftBank's departure from the new capital city project. Sidik said the government would still rely on funding for the capital mega-project in North Penajam Paser, East Kalimantan, from various sources.

"In principle, IKN development financing can come from the State Budget and other legal sources of funding according to statutory provisions," said Sidik when contacted on Saturday, March 12, 2022.

SoftBank confirmed that the company will not invest in the IKN project. The decision was delivered on Friday, March 11, 2022.

Sidik said that the commitment of investors or parties outside the government regarding IKN financing is still in the early stages. "In the realization later, of course everything will be discussed in more detail with the government," said Sidik.

In January 2020, the Coordinating Minister for Maritime Affairs and Investment Luhut Pandjaitan claimed that SoftBank was interested in injecting fresh funds for IKN development reaching US$100 billion. According to Luhut at the time, the investment value offered by Japan was too large.

In fact, the government considers an investment of 25 billion US dollars to be sufficient because the plan to move the capital city has already been implemented. Starting from this investment interest, Indonesia finally appointed Masayoshi Son as Chairman of the IKN Steering Committee with British Prime Minister Tony Blair, Crown Prince of Abu Dhabi Mohamed bin Zayed Al Nahyan or MBZ.