Tweaking State Budget for the New Capital


The government will create a particular budget allocation to fund the new capital city's infrastructure in the 2022 State Budget (APBN). Head of the National Development Planning Agency (Bappenas) Suharso Monoarfa revealed that he had budgeted up to Rp 12 trillion for basic infrastructure development in the capital's core area in Penajam Paser, East Kalimantan.

The construction of the basic infrastructure will expectedly be completed by 2024. "To build palaces, reservoirs, canals, and others," he said on January 25, 2022. The first phase of the project will require up to Rp 110 trillion, raised from various sources. Meanwhile, Public Works and Housing Minister Basuki Hadimuljono proposed a budget of Rp 46 trillion in 2022 to 2024 for the construction of the president and vice president's offices, legislative buildings, roads, as well as drinking water installations.

Start your free trial.

If you would like to get a 30-day free unlimited access to all of our insights, please click “Start free trial” button below. If you already have an account, please login.

What do subscribers receive?

As a subscriber, you’ll receive daily insights, weekly business digests, and quarterly industrial reports.

What kind of pieces will i get?

In-depth reports on assumption and impact analysis, as well as update and trends mapping, written by our credible and experienced analysts.

And, there is something else…

Enjoy a 30-day free trial, on us. Feel free to contact us with any additional questions you have.