IKN Authority: Indonesia-Japan Cooperation To Build IKN Through 5 MoU And 24 LOI

Indonesia and Japan are working together to build the State Capital (IKN) of the Archipelago through five memorandums of understanding and 24 Letters of Intent. BETWEEN/HO - IKN Authority

The State Capital Authority (OIKN) revealed that Indonesia and Japan are working together to build IKN Nusantara through five memorandums of understanding and 24 Letter of Intent.

"Nusantara has the best investment opportunities in Indonesia today. This is reflected in various incentives provided by the government for investors," said OIKN Head Bambang Susantono as quoted by ANTARA, Monday, May 22.

Bambang added that IKN development projects are not only beneficial for Indonesia, but also provide benefits for all global partners.

A total of 5 memorandums of understanding (MoU) were signed by OIKN with Japanese agencies and companies, and there were 24 Letter of Intent (LoI) handed over by Japanese companies to OIKN in front of Indonesian President Joko Widodo.

Bambang said the archipelago was a life laboratory', allowing partners to experiment with new ideas and innovations.

We welcome various types of new technologies to be implemented in our city. Thus, our partners have the opportunity to make the archipelago a place to experiment in channeling ideas and innovations," he said.

In addition, the archipelago aims to play an active role in three global efforts to overcome climate change, rejuvenate biodiversity, and achieve Sustainable Development Goals (SDGs).

The signing of the MOU is the beginning of Indonesia-Japan cooperation in the IKN development project. The Head of OIKN hopes that the Japanese delegation can return to IKN to explore more deeply about the development and opportunities for cooperation and investment.

JICA Senior Vice President Executive Yamada Junichi said that his party supports investment in Indonesia, especially in IKN.

"Investors under JICA are ready to support investment in Indonesia, especially in IKN in infrastructure such as the revitalization of Balikpapan Airport and also the energy sector, especially the Power Supply Facilities," said Yamada Junichi.

Meanwhile, Chairman of the Board JBIC Tadashi Maeda conveyed his commitment to support the development of IKN, especially to realize IKN as a carbon neutral city by focusing investment in new and renewable energy such as hydropower.

The implementation of this agenda is a series of activities with the previous agenda. Starting from the sounding market in Japan by the Government of the Republic of Indonesia on February 27, 2023, which at that time, OIKN was represented by Dhony Rahajoe, as Deputy Head of OIKN and accompanied by Deputy Funding & Investment Agung Wicaksono.

Then followed up on April 1, 2023, when the Japanese delegation led by Dr. Hiroto Izumi, a former Special Advisor for Prime Minister, visited the IKN construction site.