Several State Commitment Investment In IKN, Bahlil: APBN Only 20 Percent Of Development Which Is Rp500 Trillion

Screenshot of the Minister of Investment/Head of BKPM Bahlil Lahadalia. (Photo: Doc. Antara)

JAKARTA - Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia said there was a minimum of IDR 200 trillion investment that would be included in the construction project for the capital city of Nusantara (IKN) in the first phase.

"At least Rp200 trillion we will be able to realize in the construction of the IKN project in the first phase," he said at a press conference on investment realization, quoted by Antara, Monday, October 24.

Bahlil explained that there have been investment commitments from a number of countries including the United Arab Emirates (UAE), China, South Korea, and Taiwan.

"We are targeting that in 2023 they (UAE) will enter IKN, which is already USD 20 billion, which is okay. And they will enter IKN and several investments in other sectors," he said.

Meanwhile, Bahlil also said a number of European countries had submitted offers and some had even been brought to President Jokowi.

The former Chairperson of HIPMI emphasized that there are many investors who want to be included in the IKN development project. Of the total IKN investment of more than Rp500 trillion, only about 20 percent comes from the state budget and the rest is from investment.

Therefore, private investment is needed to participate in the construction of IKN which will be completed not only in a matter of two years.

"It's not a year, two years is over, it can be up to 10 years before it can be completed. For the first stage based on the master plan, God willing, it will be in accordance with the schedule. In 2024 what is announced by the government, for us the August 17 ceremony at IKN, God willing, will be realized," he said.

Bahlil added that his party was discussing a draft government regulation regarding ease of doing business at IKN. The RPP is targeted to be completed by the end of October.

"PP is for incentives (IKN) at the Ministry of Investment, so now it's being discussed. It should be finished this October, God willing, I will pursue that target," he said.