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Budget Plan for New Capital City Mega Project Yet to be Established

4 January 2022 10:58 WIB

The proposed design of Indonesian state palace in the new capital. Instagram.com

TEMPO.CO, Jakarta - The Finance Ministry through its Director General of Budgeting Isa Rachmatarwata said the budget needed to construct the new capital city has not explicitly been included into the 2022 State Budget (APBN) plan. 

With this, the actual budget that is needed for Indonesia’s modern mega project remains unclear, Bisnis.com reported. 

“We have not made a clear nor explicit budget for the new capital city in the 2022 State Budget,” said Isa in a press conference on January 3.

The lack of budgeting plan, she said, is mainly due to the uncertain deadline on when the construction project would kickstart. Isa made sure that this would all be clear once the New Capital City (IKN) Act is issued.

However, the Finance Ministry has allocated funds following the project’s Bill that has been handed to the Parliament. Despite this, a number of state ministries have started to prepare infrastructure constructions in East Kalimantan or Borneo where the New Capital City will be located. 

The infrastructures oversee the rivers there, how clean water will be sourced, and develop water reservoirs. 

Read: PKS Criticizes Draft Bill on New Capital City over Lacking Environmental Rules

BISNIS



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