Indonesia's New Capital Project Sees Massive Investment Commitment

Significant Financial Backing for Nusantara Development

The Nusantara Capital City Authority (OIKN) has announced a substantial investment commitment of Rp 158.73 trillion through the Government-Business Cooperation (KPBU) scheme ¹

. This significant financial backing demonstrates strong confidence in Indonesia's new capital project. Of this amount, Rp 5.63 trillion has been approved by Finance Minister Purbaya Yudhi Sadewa, marking a crucial step forward in the project's implementation ¹

Source 1

https://finance.detik.com/energi/d-8228324/proyek-ikn-tahun-depan-butuh-rp-17-triliun

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Sectoral Breakdown of Investments

The investment commitments have come from 17 different business entities, with the majority (11 companies) focusing on the residential sector, totaling Rp 64.31 trillion ¹

. This emphasis on housing development aligns with the project's overall infrastructure and urban development plans. The significant investment in the residential sector is expected to drive both economic growth and infrastructure development in the new capital city.

Future Budget Projections

Looking ahead to 2026, OIKN head Basuki Hadimuljono revealed that the new capital project will require Rp 17.08 trillion in funding ²

. Of this amount, Rp 6.26 trillion is already allocated in the current budget, with the remaining to be proposed as Additional Expenditure Budget (ABT) in January ²

Source 2

https://nasional.kontan.co.id/news/oikn-kantongi-komitmen-investasi-kpbu-rp-15873-triliun-ini-daftarnya

. The budget requirements are expected to continue decreasing in subsequent years, with Rp 14.64 trillion needed in 2027 and Rp 2.68 trillion in 2028, bringing the total budget for 2025-2028 to Rp 48.80 trillion ²

Source 2

https://nasional.kontan.co.id/news/oikn-kantongi-komitmen-investasi-kpbu-rp-15873-triliun-ini-daftarnya

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Implementation Progress

The project's financial planning shows a systematic approach to funding the new capital's development. The initial higher budget in 2026 reflects the project's infrastructure development phase, while the subsequent decrease indicates a transition towards more specific and potentially less capital-intensive projects in later years. The successful allocation and utilization of these funds will be crucial in determining the project's overall success and timeline.