DPRD Jakarta Laments Economic Effects from New Capital City Move

Translator

Ricky Mohammad Nugraha

Editor

Petir Garda Bhwana

Kamis, 20 Januari 2022 11:44 WIB

Chairman of Commission A of the DKI Jakarta DPRD, Mujiyono, after conducting tests on candidates for mayor of North Jakarta at the DKI DPRD, February 16, 2021. Tempo/Imam Hamdi

TEMPO.CO, Jakarta -The Jakarta Regional Legislative Council (DPRD Jakarta) Commission A speaker Mujiyono on Wednesday assessed that the capital city move from Jakarta to East Kalimantan will inflict a negative impact on Jakarta’s economy. However, he believes other common issues regarding the city will remain such as traffic congestion and air pollution.

The economic effect will be caused by the reduced state apparatus (ASN) spending and household consumption, which will have a domino effect, according to him.

“In terms of ASN and household spending, the move to East Kalimantan will automatically reduce the two aspects. It will cause a drop in demand for goods and services in Jakarta,” he wrote in a statement on Wednesday, January 19.

The reduction of government administration spending in the services sector, hotels, catering, and production. These aspects are aspects that support government-related activities.

The DPRD speaker said Jakarta’s satellite cities such as Bogor, Depok, Tangerang, and Bekasi will be affected by the capital city move.

“Supply of workers and goods for Jakarta are sourced from a number of provinces in Java and Sumatra. The new capital city move will surely affect these regions,” he added.

However, he believes aspects synonymous to Jakarta such as traffic congestion, air pollution, and water crisis will stay as central government activities only constitute 10 percent of Jakarta’s activities.

Read: KAI, Transportation Ministry Discuss Plan to Build LRT in New Capital City

EKA YUDHA SAPUTRA

Related News

Economists Warn of Large Coalition in Prabowo-Gibran's Cabinet

1 hari lalu

Economists Warn of Large Coalition in Prabowo-Gibran's Cabinet

Several experts discussed input for Prabowo-Gibran in forming their cabinet.

Read More

A Domestic Recipe for the Middle East Conflict

1 hari lalu

A Domestic Recipe for the Middle East Conflict

The Middle East conflicts will harm the Indonesian economy. The solution is to improve the domestic economy.

Read More

Thousands Join Jakarta May Day Rally; Access to Palace Blocked

1 hari lalu

Thousands Join Jakarta May Day Rally; Access to Palace Blocked

To commemorate International Labor Day, also known as May Day, thousands of workers from various unions took to Jakarta streets.

Read More

Canada's Economy Misses February Growth Forecasts; Q1 GDP Seen Up 2.5%

2 hari lalu

Canada's Economy Misses February Growth Forecasts; Q1 GDP Seen Up 2.5%

Statistics Canada said GDP was likely unchanged from February.

Read More

Jakarta Police Arrest 11 Online Gambling Suspects in Tangerang

2 hari lalu

Jakarta Police Arrest 11 Online Gambling Suspects in Tangerang

The Jakarta Metropolitan Police arrested 11 online gambling suspects at a house in Teluknaga Cluster, Tangerang at 00:46 on April 26.

Read More

Finance Minister Sri Mulyani Discusses Middle East Impact Mitigation with VP Ma'ruf Amin

3 hari lalu

Finance Minister Sri Mulyani Discusses Middle East Impact Mitigation with VP Ma'ruf Amin

Sri Mulyani said that geopolitical tensions in the Middle East became the focus of world leaders, which will have a significant economic impact.

Read More

BMKG Forecasts a Cloudy Day in Jakarta

3 hari lalu

BMKG Forecasts a Cloudy Day in Jakarta

BMKG forecasts that Jakarta will be cloudy today, Tuesday, April 30, 2024.

Read More

DKJ Law Is The Best for Jakarta, Says Acting Gov Heru Budi

3 hari lalu

DKJ Law Is The Best for Jakarta, Says Acting Gov Heru Budi

Jakarta Acting Governor Heru Budi Hartono reacted to the ratification of the Jakarta Special Region or DKJ Law passed by President Jokowi on Apr. 25.

Read More

Jokowi Approves Jakarta Special Region Bill

3 hari lalu

Jokowi Approves Jakarta Special Region Bill

President Joko "Jokowi" Widodo signed the ratification of Law No. 2 of 2024 on the Jakarta Special Region, also known as the DKJ Law.

Read More

Today's Top 3 News: 5 Coldest Cities in the World, 2 in Canada; Jakarta-Surabaya High-Speed Rail to Be More Lucrative Than Before

4 hari lalu

Today's Top 3 News: 5 Coldest Cities in the World, 2 in Canada; Jakarta-Surabaya High-Speed Rail to Be More Lucrative Than Before

Tempo English compiled the top 3 news on Sunday, April 28, 2024.

Read More