IKN groundbreaking stage III scheduled next week: Investment target set at Rp10 trillion
This article has been translated by PwC Indonesia as part of our Indonesia Infrastructure News Service. PwC Indonesia has not checked the accuracy of, and accepts no responsibility for the content.
Investor Daily - Groundbreaking IKN tahap III dijadwalkan pekan depan: Target investasi Rp10 triliun
12 December 2023
By: Nasori
Jakarta - Nusantara Capital City Authority (OIKN) is targeting the third stage of groundbreaking in IKN to be carried out next week before the Christmas and New Year holiday period. However, this schedule could be adjusted to accommodate the availability of President Joko Widodo (Jokowi).
“Inshallah (God willing), it will be carried out around 20 December. Regarding the schedule, we will adjust it to suit the President’s availability,” OIKN Funding and Investment Deputy Agung Wicaksono said when was met at Workshop on International Financial Centre in IKN that was held in Jakarta on Monday (11/12/2023).
The investment value of the third stage of groundbreaking is set to reach around Rp10 trillion. Agung said that his agency was accelerating the groundbreaking process to be carried out before the holiday season.
“We highly hope that it can be achieved as some are already on holiday. However, we will optimise it first before the holiday. So, the groundbreaking needs to be carried out before the holiday,” he added.
Agung mentioned that there were three sectors where groundbreaking will be carried out. First, there is the green sector that encompasses projects related to the green/forest city concept and reforestation.
Next, there are ecosystem enhancement and development projects in Central Government Core Area (KIPP) that includes housing, hotels, and government hospitals.
“We have 3 private hospitals that have conducted groundbreaking. This time, we and the government will determine the focus of the four hospitals. There are eight diseases that must be focused on. Hopefully, these four hospitals can cover four [of the diseases],” Agung said.
Then, there are government institution building projects that include buildings for Indonesia Deposit Insurance Corporation (IDIC) and institutions in the defence sector. “Yesterday, it was BI. Today, it is IDIC. If I am not mistaken, [buildings for] TNI and Polri from the defence sector can also commence,” Agung said.
The first stage of groundbreaking was carried out from 21 to 22 September 2023 with a total investment value of Rp23 trillion. There are 10 companies in Nusantara Consortium that will construct malls, hotels, and offices. Moreover, they will also provide plants and green open spaces.
Then, there is the construction of the FIFA-standard football training field and Pertamina’s sustainable energy centre.
The second stage of groundbreaking was carried out from 1 to 2 November 2023 with an investment value of Rp12.5 trillion. It includes hospitals, a mall that is integrated with a hotel and an apartment, several government offices, an orangutan sanctuary island, a VVIP airport, as well as public and international schools.
Not only for ASN
During the occasion, OIKN affirmed that the various facilities in IKN were not exclusively for the state civil apparatus (ASN) living there. “There is a misunderstanding. Some think the facilities in IKN are solely for ASN, but they are mistaken,” Agung said.
According to Agung, the various facilities in IKN can be used by anyone. “There will be people who live and work in IKN. They will work at hospitals, hotels, and shopping malls. We will also prepare the facilities for it,” Agung said.
For example, he mentioned the healthcare sector. In accordance with the instruction of the Health Minister, hospitals in IKN will be built with an above-average quality.
In terms of quantity, he explained that the ratio between the number of citizens and hospital beds in Indonesia reached 1:1.8. Meanwhile, in IKN, the ratio is set to reach 1:3, so there will be 3 times more beds compared to other areas.
Meanwhile, in terms of quality, Agung explained that hospitals in IKN needed to have better quality and more complete services.
Not only IKN citizens, he explained that hospitals in IKN were also expected to serve patients from surrounding cities, such as Balikpapan and Samarinda as the toll road to IKN is scheduled to be completed next year.
“Enhanced services in IKN can draw citizens from outside its boundaries. The vision is for Indonesian citizens to no longer seek treatment overseas, but instead to choose IKN as their destination for quality healthcare,” Agung said.
