By: Andi Kurniawan )*
The development of the Capital of the Archipelago (IKN) is a big agenda that must be taken for the progress of the nation. The amount of costs required of course requires the role of investors who are interested in investing in IKN so that later IKN development can be completed according to the target.
The Indonesian government has also opened up opportunities for investors to participate in realizing the transformation of Indonesian civilization. President Jokowi emphasized that the archipelago can be realized with joint efforts, not only the government that moves.
President Jokowi has also invited investors to choose to invest in any sector. This is a golden opportunity that will not be repeated.
The transfer of the capital city from Jakarta to IKN in Penajam Paser Utara, East Kalimantan has been stated in Law Number 3/2022 concerning the State Capital. For this reason, President Jokowi asked investors not to hesitate in investing their capital in IKN.
On the previous occasion, Head of the Archipelago Capital Authority (IKN) Bambang Susantono revealed that the government was preparing three things related to IKN development. So that in order to build an IKN city, it is not only livable but also loved. His party wants that in 2024, a comprehensive ecosystem will be formed and also make the city a livable city.
The three things are the draft government regulation (RPP) related to incentives for business actors and investors who will conduct their business in IKN, then the establishment of a Business Entity Owned by the IKN Authority, and the implementation of market taxes.
He informed that there will be several fiscal and non-fiscal incentives designed with the Ministry of Investment/BKPM, Ministry of Finance, Bappenas/PPN, and other stakeholders. To make investors later able to invest capital to do business in IKN Nusantara as well as possible.
On a different occasion, Chairman of the Indonesian Chamber of Commerce and Industry Arsjad Rasjid appreciated the government’s step by providing various facilities for entrepreneurs and investors to be interested in investing in IKN Nusantara. Entrepreneurs are quite interested in participating in investing their capital in the mega project.
He also believes that the private sector must take advantage of the opportunities for trade, investment and the development of new areas in IKN Nusantara. He sees many opportunities that can be explored by investors, for example in the health and fitness service sector, green housing and commercial buildings, world-class education centers, sustainable energy ecosystems.
Arsjad also highlighted several incentives from the government which he said could create its own magnet for IKN so that investors are willing to invest in the mega project.
These incentives include a tax holiday of up to 30 years for public infrastructure development, 10 years of tax holiday for businesses moving or building representative offices in IKN, 300 percent of super deduction tax facilities for research and innovation centers, and 250% super deduction tax facilities for centers. vocational education and training.
Arsjad also admitted that he is not worried about the sustainability of this mega project when President Jokowi will step down from his post in 2024. KADIN has seen that this IKN project is not only Jokowi’s agenda as the current President, but also the agenda of the Indonesian nation.
He is quite sure that whoever will lead Indonesia in the future, the IKN development project will continue, because IKN is a symbol of Indonesia’s future which will level the development of the country.
In the future, IKN Nusantara will become a new center of economic growth for Indonesia to realize the vision of Indonesia gold in 2045 to become the country with the 4th largest economy in the world.
On a different occasion, as the Minister of Finance (Menkeu), Sri Mulyani Indrawati said, there is a path that potential investors can use to invest in IKN development projects in East Kalimantan. One of them, investors can enter as shareholders and the second option, can be as creditors. Investors just choose the option provided by the government, which one they think is the most profitable.
According to Sri Mulyani, the role of investors is very important because IKN development cannot only rely on the state budget. This is because the state budget will only be used for the construction of basic infrastructure such as roads, dams, ports and airports.
Previously, the Coordinating Minister for Maritime Affairs and Investment (Menko Marves) Luhut Binsar Pandjaitan said that the IKN development apparently attracted great interest from foreign investors. He also emphasized that it is not true if there are parties who say that IKN development has minimal funding.
Luhut believes that investment is no longer centered on the island of Java. He also hopes that more and more young people can take part in encouraging the Indonesian economy.
The development of IKN in Kalimantan is of course the big intention of the current government, of course to make it happen the government needs to attract investors to be involved in the project.
)* The author is a contributor to Persada Institute
