China and Russia have officially launched multi-million dollar construction projects in Indonesia’s new capital city, Nusantara, marking a significant milestone for the city’s development. President Joko Widodo officiated the projects, which include property, hospitality, and education developments, aimed at building a strong and sustainable ecosystem in Nusantara that will attract both local and international investors. Minister of Tourism and Creative Economy, Sandiaga Uno, expressed optimism about the new investments, emphasizing the potential for job creation and business opportunities across Indonesia.
China’s Delonix Group is spearheading a property project in Nusantara with investments of 500 billion rupiah for an integrated complex featuring a hotel, luxury apartments, shopping malls, offices, and sports facilities. Similarly, Russia’s Magnum Estate International will launch a 1.3-hectare integrated resort complex at an estimated cost of 500 billion rupiah. Additionally, an international educational facility for 750 students from pre-school to high school levels will be developed by Australia’s AIS, costing 150 billion rupiah. These projects aim to enhance Nusantara’s infrastructure and amenities.
Nusantara is widely viewed as President Widodo’s legacy, with the decision to relocate Indonesia’s capital city from Jakarta first made in 2019 due to concerns about the city’s sinking and congested nature. President-elect Prabowo Subianto has pledged to continue the development of Nusantara once he takes office, signaling ongoing support for the new capital city. President Widodo anticipates more groundbreaking projects in Nusantara, noting that additional investors have shown interest in starting new projects and have submitted proposals and letters of intent.
In addition to the projects launched by Chinese and Russian firms, government-funded facilities are still under construction in Nusantara. Various hotels are also in development with Indonesian firms, highlighting the diverse range of developments taking place in the new capital city. President Widodo’s term is set to end soon, but the development of Nusantara as a key investment destination is expected to continue under the leadership of the incoming president. The new capital city holds promise for economic growth, job creation, and enhanced infrastructure in Indonesia.
