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The changing vision of Nusantara

Indonesia’s President Joko Widodo expands the scope of his new capital city amid a wait-and-see attitude by investors

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A palm oil plantation at a village near Indonesia's projected new capital, Nusantara National Capital, Sepaku, East Kalimantan province.

A palm oil plantation at a village near Indonesia's projected new capital, Nusantara National Capital, Sepaku, East Kalimantan province.

PHOTO: REUTERS

Johannes Nugroho

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Project Nusantara – Indonesia’s US$32.8 billion (S$43.5 billion) undertaking

to move its capital city from Jakarta to an undeveloped site in East Kalimantan

– has taken off in fits and starts since its inauguration in 2019. Along the way, President Joko Widodo’s vision for it has grown.

The original case was that Indonesia needed a replacement capital city for Jakarta which, as Mr Widodo explained in 2019, “was doddering under its own weight for being the centre of government, finance, business, trade and services all at the same time”.

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