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Malaysia Private Sector Pledge to Invest in New Capital City Project

9 January 2023 16:44 WIB

TEMPO.CO, Jakarta - President Joko "Jokowi" Widodo announced that a bilateral meeting with Malaysian Prime Minister Anwar Ibrahim had produced 11 letters of intent (LOI) confirming investment in Indonesia's ambitious new Nusantara capital city project (IKN Nusantara) in East Kalimantan.

According to President Jokowi, the LOIs were signed by Malaysia's private sector investors and had been handed to the IKN Nusantara authority. The investments are said to range from the field of electronics, healthcare, waste management, construction, and property industry. 

Other signed investment pledges, Jokowi claimed, include a memorandum of understanding in shipping, export and import financing, green energy, and battery industry development. 

"I welcome the interests shown by Malaysian investors in the construction of the new capital city of Nusantara," the President announced after the bilateral meeting, which takes place at the Bogor Palace in West Java on Monday, January 9, 2023.

In response to the IKN Nusantara project, Prime Minister Anwar Ibrahim said that Malaysia will provide contributions for the project's development, which hopefully will also provide benefits for its surrounding regions, including Sarawak and Sabah. 

Jokowi’s meeting with Anwar Ibrahim on Monday, January 9, 2023, marks the inaugural bilateral meeting after Anwar Ibrahim's inauguration as the 10th Malaysian Prime Minister in November last year. Indonesia is the first foreign country to be visited by Prime Minister Anwar Ibrahim.

The two countries have also pledged to strengthen cooperation through the Council of Palm Oil Producing Countries (CPOPC). "Aimed to expand the oil palm market and fight discrimination against palm oil," said Jokowi. 

FAJAR PEBRIANTO

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