Cooperation Technology, Indonesia Invites Korean Investors To Build Nusantara IKN

Indonesia-South Korea signed a collaboration in the construction of IKN. Photo: Doc. Ministry of PUPR

JAKARTA - The Ministry of PUPR is collaborating with South Korea to strengthen and expand international cooperation in the development of the National Capital (IKN) of the Archipelago, at the Korea-Indonesia New City Cooperation Forum in Jakarta, Thursday, March 16.

In addition, Indonesia and South Korea also have a memorandum of understanding of technical cooperation in the transfer and development of IKN which will become the basis for bilateral mechanisms, as well as the basis for South Korean companies to actively contribute to working together to build IKN Nusantara.

PUPR Minister Basuki Hadimuljono said cooperation between Indonesia and South Korea had been established for a long time. Moreover, previously the PUPR Ministry had collaborated with K-Water, which has excellent experience, technology, and capability in the water management sector.

"The existence of this forum is a starting point for our cooperation, especially in the development of IKN Nusantara. We already have an MoU as the basis for cooperation and personally we are very comfortable and open when working with South Korea," Minister Basuki said in a press release, Friday, March 17.

On the same occasion, South Korean Minister of Land, Infrastructure and Transportation Won Hee-Ryong hopes that through this forum the two countries can create new values and opportunities for cooperation, as well as share their experiences, so that there is a transfer of knowledge.

"I hope that the two countries will continue to actively cooperate and move towards a better future, as well as a closer connection between Indonesia and South Korea," he said.

In this Korean-Indonesia New City Cooperation Forum series, PUPR Minister Basuki Hadimuljono and all high-ranking officials of the Ministry of PUPR also attended a bilateral meeting with the Minister of Land, Infrastructure and Transportation of South Korea Won Hee-Ryong, National Agency for Administrator City Construction (NAACC) South Korea Lee Sang-Rae, Indonesian Ambassador to South Korea Gandi Sulistiyanto, Head of the IKN Infrastructure Development Task Force Danis H. Sumadilaga, Deputy for Green Transformation and Digital Authority of IKN Mohammed Ali Berawi, as well as representatives of 16 South Korean companies as candidates for IKN Nusantara investors.

For your information, since 2019, the Indonesian government has decided to move the nation's capital from Jakarta to IKN Nusantara in East Kalimantan (Kaltim). This transfer was carried out because of the enormous population pressure, massive urbanization and environmental damage on the island of Java, especially Jakarta.

By carrying the concept of Future Smart Forest City, the focus of the development of IKN Nusantara covering an area of 256,000 ha is in the early 2022-2024 stage, in the Central Government Core Area (KIPP) covering an area of 1,600 ha or about 25 percent of the total area of KIPP 6,600 ha. The remaining 5,000 ha will be maintained as a green area.

To date, around 50 construction projects have been carried out by the Ministry of PUPR with a total cost of IDR 62 trillion sourced from the APBN.