Indonesia’s Nusantara Capital Authority (IKN) has ramped up efforts to accelerate banking sector investments to support the development of its new capital city. A meeting held on January 17, 2024, brought together prominent banking institutions such as Bank Rakyat Indonesia (BRI), Bank Mandiri, Bank Negara Indonesia (BNI), Bankaltimtara, Bank Tabungan Negara (BTN), and Bank Central Asia (BCA).

The primary agenda focused on expediting the construction of banking service offices within the Central Government Core Area (KIPP) of Nusantara. These facilities, slated to open by the first quarter of 2026, aim to provide efficient and responsive financial services for residents relocating to the new capital.

Basuki Hadimuljono, Head of IKN, highlighted the strategic infrastructure already in place for the transition. “Infrastructure in Nusantara has been prepared. The President has directed us to ensure the executive, legislative, and judicial activities take place in the new capital by 2028. Starting January 2025, we will map out locations to begin road construction,” Basuki said during the meeting.

This initiative forms part of broader efforts to establish Nusantara as a fully operational capital by 2028. President Prabowo Subianto, during the G20 international forum, emphasized the importance of the capital relocation and outlined plans for a National Mosque in Nusantara by 2025. The reclassification of Jakarta’s status from a Special Capital Region (DKI) to a Special Region (DK) has also been finalized by both the President and the DPR.

The banking sector plays a pivotal role in creating an inclusive economic ecosystem for Nusantara. By providing accessible financial services, it seeks to attract more residents and investors while fostering economic growth. Chuck Kim, Managing Director of Grab Group Business Development, remarked on the long-term economic benefits of such collaborations during a recent partnership announcement, signaling the broader impact of similar private-public synergies.

Basuki reiterated the importance of meeting development milestones. “The President will begin working from Nusantara on August 17, 2028, marking a historic moment for Indonesia’s governance,” he stated. The authority remains committed to aligning banking services with the needs of the emerging city, ensuring a seamless transition for residents and businesses alike.

As part of the broader development, the banking offices are expected to streamline economic activities in the capital, bridging the gap between government operations and the private sector. The rapid progress signifies Indonesia’s ambition to establish Nusantara as a modern, inclusive city that embodies sustainable growth and technological advancement.

PHOTO: HUMAS OTORITA IKN