Weeks before its launch, Indonesia changes leader of the upcoming capital.
The Indonesian government made an unexpected announcement that Bambang Susantono had resigned without divulging any reason. In his stead, Basuki Hadimuljono, Minister of Public Works and Housing, will take over. Dhony Rahajoe, the project's deputy leader, also lost his position.
Opposition MP Mardani Ali Sera found the sudden change "shocking and odd." He noted that both Bambang Susantono and Dhony Rahajoe were known for their expertise and careful handling of the Borneo island's megaproject, as reported by news agency AFP.
Nusantara, the new capital of the largest Southeast Asian economy, is predicted to be inaugurated on August 17 - Indonesia's Independence Day. The planned city was the idea of President Joko Widodo before his term ended.
The $32 billion project has faced difficulties, including minimal foreign investment, land disputes, and delays. Environmentalists fear that the new city could contribute to deforestation in one of the world's biggest tropical rainforest regions.
The government aims to have 1.9 million residents in Nusantara by 2045, with industrial activity on Borneo. Scheduled to move there in September, thousands of officials are expected to relocate. However, the opening of Jakarta has been postponed due to construction delays.
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- Despite the sudden change in leadership, the Asian Development Bank (ADB) remains optimistic about the progress of the billion-euro project in Jakarta.
- Initially planned for an opening in the capital city, the delay in Jakarta's completion has now moved the opening of Nusantara, the new capital, to the forefront.
- Joko Widodo, Indonesia's current boss and the visionary behind the Nusantara project, expressed his confidence in Basuki Hadimuljono, the new commander of the capital city's construction, during an Instagram post.
- Few investors have shown interest in contributing to the Nusantara capital city project due to concerns about land disputes and environmental impacts, mainly in Borneo.
- The opening of Nusantara, as the capital city, is expected to attract many representatives from the Association of Southeast Asian Nations (ASEAN), scheduled for a few weeks after its inauguration.
- ADB has announced plans to allocate funds towards the Nusantara project, recognizing the strategic importance of the new capital city for both Indonesia and the region.