Key insights and market outlook
The Nusantara Capital Authority (IKN) has made significant progress in developing the core infrastructure of the new capital city, with the main road construction reaching 99% completion. The project includes seven contract packages (A-G) that will connect key areas such as government facilities, educational institutions, and residential areas. This infrastructure development is crucial for supporting the future government's activities and the overall functionality of the new capital city.
The Nusantara Capital Authority (IKN) continues to advance the development of basic infrastructure as the backbone of connectivity in the Core Government Area (KIPP) of the new capital city. The current focus is on the construction of Road 1B - 1C, designed as the main road in KIPP IKN, playing a crucial role in connecting various strategic plots, including educational areas, government facilities, and residential zones.
According to the IKN Authority's report on January 7, 2026, the road network development is being executed through seven contract packages (A-G), with an average construction progress reaching 99%. These roads will not only support daily mobility but also serve as connectors between different functional areas that will support government activities and community life in IKN.
The construction of Road 1B and 1C is a vital component in creating an integrated, safe, and efficient transportation system in KIPP IKN. The presence of this main road network is expected to support the smooth operation of government activities, educational services, healthcare facilities, and residential areas for state apparatus and the community in IKN.
The IKN Authority remains committed to ensuring that infrastructure development meets quality and timeline standards, providing optimal benefits for the realization of Nusantara as Indonesia's future capital city.
IKN Infrastructure Development Progress
Main Road Construction Update