Indonesia’s President Prabowo Subianto Sets Timeline for Key Buildings in Nusantara, the New Capital

Indonesia’s newly elected leader, Prabowo Subianto, has outlined an ambitious timeline for completing crucial government and parliamentary buildings in Nusantara, Indonesia’s new capital city project on Borneo Island.

This capital relocation, originally envisioned by former President Joko Widodo, aims to shift the country’s administrative center 1,200 kilometers (745 miles) away from the overcrowded and sinking city of Jakarta to a fresh, more sustainable urban hub, as reported by Reuters.

Prabowo intends for Nusantara to be ready for the inauguration of the next Indonesian president and vice president in 2029, according to Raja Juli Antoni, Indonesia’s forestry minister, who shared this update via his Instagram account.

“For him, Nusantara is the capital of politics. That is why in the next four years, apart from government buildings, we must complete buildings for legislative and judiciary bodies,” said the minister, signaling Prabowo’s dedication to transforming Nusantara into a functional seat of power.

The Vision for Nusantara

The capital project, pegged at a massive $32 billion, was first launched under Joko Widodo’s administration in 2022 to address the environmental and infrastructural strains in Jakarta, which faces serious challenges with traffic congestion and land subsidence. The new capital, Nusantara, is strategically located in the forests of Borneo, with an emphasis on sustainable and environmentally conscious development, designed to mitigate these issues while redistributing growth across the archipelago.

Will the budget allow?

Although Prabowo’s commitment to Nusantara seems steadfast, questions linger over the project’s financial sustainability. The state budget, already stretched thin, must balance funding for the new capital alongside Prabowo’s other campaign promises, such as his multi-billion dollar free-meal program. The government’s plan limits its own contribution to just 20% of the overall budget, with the remaining funding expected to come from foreign investments.

The recent acquisition of foreign investment from Chinese property developer Delonix Group, amounting to 500 billion rupiah ($31.80 million), is a positive step. This investment is earmarked for developing hotels and office spaces, signaling some progress in the capital’s commercial infrastructure. However, the project still requires a larger influx of international support to maintain its momentum and achieve completion within the projected timeframe.

Despite financial hurdles, construction in Nusantara has progressed, with key buildings such as the presidential palace and official residences already completed.

Major infrastructure projects, including toll roads and airports, are currently underway to bolster the city’s connectivity and accessibility.

Indonesia’s leadership transition has brought new energy to Nusantara, with Prabowo’s administration underlining a vision to honor and expand upon Widodo’s legacy. With a focus on accelerating the development of key government, legislative, and judiciary buildings over the next four years, the goal is clear: transform Nusantara into Indonesia’s political epicenter.

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