The main problem with the IKN project was revealed after the OIKN bosses withdrew as a congregation

JAKARTA – PUPR Minister Basuki Hadimuljono revealed the main problems in development IKN Nusantara namely land and investment. This was revealed after President Jokowi was appointed as Acting Head of the IKN Authority (OIKN) Bambang Susantono and OIKN Deputy Donny Rahajoe resigned from his position.

Basuki said that IKN’s main problem was investment, which until now had not come in due to land constraints. It is difficult for investment to enter IKN because the status of land for investors is currently unclear. The suspension of land transactions at IKN has made land status unclear for investors. As a result, investors who invest their capital in IKN cannot buy land but only a Building Use Rights (HGB) certificate for a period of time.

“We still need to speed up those investments, all because of unclear land status and unclear cooperation,” said Basuki in a press conference at the State Palace, Monday (3/6/2024).

Basuki explained that in the future the main focus of his work as Plt. OIKN is to solve land ownership problems, especially for investors who want to invest their capital in IKN. “So the two of us will immediately decide on the status of this land for sale, rental or PPP, we want to speed up that,” he continued.

Because, by freezing land transactions or investors only being given HGB permits above the Government’s HPL, it creates doubts for business actors when investing their capital.

Bearing in mind, the composition of financing for IKN development is targeted to use 20% of the APBN. Meanwhile, the remaining 80% uses financing outside the APBN, either for direct investment schemes from business entities or PPP schemes or Government Business Entity Cooperation.

(nng)