Indonesia Capital City Going to Move to East of Kalimantan

05 September 2019


Indonesia Moving Capital from Jakarta

Joko Widodo as Indonesia’s president has announced that the national capital will move from Jakarta, on the island of Java, to the province of East Kalimantan on Borneo. The Indonesia country's capital will move from overcrowded and polluted Jakarta to East Kalimantan which known for its rainforests and orangutans.

During a televised news conference, Joko Widodo said the burden has become too heavy on Jakarta as the center of government, business, finance, trade, and services, and that the relocation will address inequality.

Jakarta is home to 10 million people and is overcrowded and heavily polluted. Road gridlock and public transport woes cost the city 100 trillion rupiahs (US$7bn) a year in economic losses, according to official estimates. It is prone to earthquakes and flooding, and parts of the city are sinking as much as 25cm a year as a result of subsidence.

Joko Widodo said the decision to move the capital comes after three years of intense study and will spread wealth away from Java – which is home to 60% of Indonesia’s 270 million population, and more than half its economic activity to Kalimantan

If parliament approves the bill, construction on the new capital will begin next year. Several countries have opted to relocate their capital cities over the years, including Brazil, Myanmar, Nigeria, and Egypt.

Jakarta will remain the economic center of the country, while the site in East Kalimantan will become the administrative capital, housing a new presidential palace, a House of Representatives building and new national police and military headquarters. An estimated 200,000 public servants from Jakarta will move in the first relocation phase.


East Kalimantan Facts

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Kalimantan is home to major mining activities as well as rainforests which orangutans live in their natural habitat.

Not many people know that East Kalimantan has extraordinary natural resources besides its rainforest. It turns out that in addition to the Dayak tribe, East Kalimantan has many other tribes that are not widely known by many people namely the Kutai tribe is a native Malay tribe of East Kalimantan.

The customs of the Dayak tribe are very visible, that is, seen from how they dress, how they live their lives, and the ceremonies/rituals they do. Besides, they also have special language and Dayak dances. These various customs are their style of culture. besides, natural beauty is no less interesting. the scenery that is still very natural you can find there like Labuan Cermin which is famous for its very clear blue water and also Derawan Island which is famous for its underwater beauty.

Not only its natural wealth, but you can also consider investing in East Kalimantan, considering that after the capital has moved to East Kalimantan, there will certainly be an equal distribution of the economy in Indonesia. Although indeed the development of property in East Kalimantan may not be as busy as in Bali. Property in Bali will always be the target because in his research Colliers revealed that property investment in Bali is still sexy in the eyes of investors because Bali is a destination for tourists both domestic and foreign. One investment product that has become a trend among foreigners and Indonesians is property investment in the form of villas that are mushrooming in the tourism area.

After all of this, are you under consideration to buy a property in Bali?

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