Jakarta, February 4, 2025 – The Europe Today: President Prabowo Subianto has reaffirmed that the development of Nusantara, Indonesia’s new capital in East Kalimantan, will proceed as planned until 2029.
Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono (AHY) confirmed the commitment following a meeting with President Prabowo in Jakarta on Monday. The meeting was also attended by Nusantara Capital City Authority (OIKN) Chief Basuki Hadimuljono and Minister of Public Works Dodi Hanggodo.
“The development of Nusantara will continue, and the President has ensured an allocated budget of Rp48.8 trillion for the period of 2025–2029,” AHY informed reporters. He further noted that the budget allocation would be adjusted based on the progress of development and prevailing conditions.
“There are some adjustments that require time. Hopefully, they can be finalized and implemented soon,” AHY added.
During the meeting, Hadimuljono disclosed that the allocated budget for Nusantara’s development in 2024 amounts to Rp14.4 trillion, forming part of the total Rp48.8 trillion (nearly USD3 billion) designated for the next five years.
In line with Presidential Instruction No. 1 of 2025 on budget-saving policies, President Prabowo has implemented a reduction in this year’s Nusantara development budget by more than half. Hadimuljono further mentioned that OIKN has been requested to submit a formal letter to the Minister of Finance regarding the necessary budget adjustments.
The continued commitment to Nusantara’s development underscores the government’s determination to realize Indonesia’s vision for a modern and sustainable capital city in East Kalimantan.