Capital Relocation to Encourage Economic Growth, Equity Outside Java: President Jokowi
Date 16 Agustus 2019
The heart of economic activities in general has been focused in Jakarta and Java Island which triggered the Island to become very densely populated and to create inequality with other islands. It will be more rampant without strenuous efforts, according to President Joko “Jokowi” Widodo .
“For that reason, the plan to relocate the capital city to Kalimantan Island is put in this context, so that it will encourage new economic growth, as well as spur economic equality and justice outside Java,” President Jokowi said in his Presentation of the Government Statement on the Bill on the State Budget for the 2020 Fiscal Year and Its Financial Note Before the Plenary Session of the House of Representatives (DPR), in Senayan, Jakarta, Friday (16/8).
President Jokowi went on to say that new capital is not only a symbol of national identity but also represents the advancement of the nation by adopting a concept of modern, smart and green city, using new and renewable energy, independent of fossil fuel.
According to the President, funding support for relocating the capital shall utilize the least possible amount of the State Budget (APBN). “The Government will encourage the participation of private sectors and state-owned enterprises (BUMN), or a government-to-business cooperation (KPBU) scheme,” he said.
Previously, President Jokowi asked for supports from the whole Indonesian people to relocate the capital city from Jakarta during his State Address on the Commemoration of 74th Declaration of Independence of the Republic of Indonesia before the House of Representatives (DPR) and the Regional Representative Council (DPD).
“While asking for the blessings and grace of Allah subhanahu wa’taala and blessings and supports from the distinguished members of the House of Representatives and members of the Regional Representatives Council, our national leaders, our national figures, and especially the whole Indonesian people, allow me to relocate our capital to the island of Kalimantan,” the President said to the applause of the people attending the joint session of the DPR and DPD.
He also added that this move aims to create economic justice and equitability and to achieve the vision of an Advanced Indonesia – Indonesia that lasts forever. (MPR-DPD-DPR / ES)
Translated by: Syarifah Aisyah
Edited by: Rany Anjany/Mia Medyana