On Tuesday, the Indonesian parliament approved a bill authorizing the relocation of the national capital from Jakarta to Kalimantan on Borneo. The new capital’s name will be Nusantara. According to article 1 of the bill, Nusantara will be the new capital and the city will be designated as the center of political activity for the country with all embassies and representative offices of foreign organizations being relocated there.
Nusantara was designated a city of regional significance. The Nusantara Administration would be responsible for managing the new capital. The president appoints and dismisses the head of administration and his deputy whose terms are limited to five years.
In 2019, Indonesian President Joko Widodo announced plans to relocate the capital from Jakarta to East Kalimantan. The authorities stated the need for a new capital was due to the congestion of the current one, as well as to accelerate the development of Kalimantan’s economy. Due to the COVID-19 epidemic, the $30 billion project has been put on hold.
Due to increasing traffic concerns, the Indonesian capital had to relocate due to its sustainability. The city of Jakarta is also rapidly sinking. ‘The relocation of the capital city to Kalimantan is based on several considerations, regional advantages, and welfare. With the vision of the birth of a new economic center of gravity in the middle of the archipelago,’ said Suharso Monoarfa, the country’s Minister of National Development Planning.
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