The government is prioritizing to domestic investors in the development of the new national capital (IKN) Nusantara despite receiving over 300 letters of intent (LoIs) from foreign investors, President Joko Widodo (Jokowi) stated on Monday.
“I believe that the number (of foreign investors seeking to invest in IKN) will continue to increase. However, we are currently prioritizing domestic investors,” he remarked after dispatching the second batch of humanitarian aid for Palestine in Jakarta.
Jokowi confirmed that the government has been actively promoting investment opportunities in Nusantara abroad, adding that an abundance of foreign business actors have conveyed their keenness to participate in the development of Indonesia’s future capital city.
“We provide updates on progress in IKN development to all countries. We also supply them with information on investment opportunities available, and plenty of parties have expressed their interest. Over 300 LoIs have been received,” he noted. He also expressed optimism that foreign investors would concretely implement their intentions to invest capital in Nusantara.
Secretary of the Nusantara Capital City Authority (OIKN) Achmad Jaka Santos Adiwijaya confirmed that his office had received over 300 LoIs. He said that 103 LoIs are aiming to develop in the housing sector, while 71 LoIs are related to the commercial sector. Development of educational infrastructure drew 63 LoIs, while the remaining LoIs concerned the transportation and health sectors.
Regarding the decision to prioritize domestic investors in IKN development, Investment Minister Bahlil Lahadalia earlier explained that the government aims to dispel concerns that it is not favoring national business players.—ANTARA
