Commitment to Sustainability of IKN President Prabowo’s Efforts to Realize Equitable Development and Economy
By: Nindia Karina
The development project of the Indonesian Capital City (IKN) in East Kalimantan is one of the major efforts in creating equitable development and economy in Indonesia. IKN is expected to be a catalyst that strengthens the local economy and becomes a new center of gravity that attracts investment to areas outside Java. Although this development began during the term of President Joko Widodo, President Prabowo Subianto’s strong commitment to continue and accelerate this project shows the government’s determination to overcome development gaps between regions and support sustainable economic growth.
The development of the IKN has had a significant impact on the local economy. Bank Indonesia data shows that East Kalimantan’s economy grew by more than 7% in the last quarter, driven by various infrastructure development projects that have opened up new business and job opportunities. The government’s commitment to empowering local communities is increasingly visible through the role of the IKN Authority in initiating training programs for indigenous communities. This was acknowledged by the Head of the Paser Traditional Institution in Sepaku District, Hasanuddin, who said that cultural activities and job training had increased income opportunities for local residents. Residents have also begun to engage in economic activities such as opening trading businesses, lodging, and homestays which have become new sources of income. Although there are challenges in the form of noise due to development activities, the surrounding community welcomes this change as part of regional development.
President Prabowo Subianto emphasized that the development of the IKN will continue and even be accelerated. President Prabowo stated that this acceleration is very important to achieve equitable development and reduce the burden on Java. He is optimistic that this development will be completed according to target, even in a shorter time, namely 4 to 5 years.
This acceleration step shows that the Prabowo-Gibran government has a strong commitment to realizing the IKN as a new, fully functional economic center. This acceleration plan was also welcomed by various parties, the Chairman of the Central Board of the Indonesian Hindu Dharma Student Union (KMHDI), Wayan Darmawan, said that the construction of the Indonesian Capital City (IKN) in East Kalimantan is part of the government’s steps to create economic equality throughout Indonesia. According to him, the project that began during the administration of President Joko Widodo needs to be continued by the new government under the leadership of Prabowo Subianto and Gibran Rakabuming Raka.
The IKN project is an attraction for domestic and foreign investment, as evidenced by the increase in investment realization in East Kalimantan. Until the third quarter of 2024, East Kalimantan Province recorded an investment of IDR 55.82 trillion, approaching the annual target of IDR 76.02 trillion. The Head of the East Kalimantan Investment and One-Stop Integrated Service Office (DPMPTSP), Fahmi Prima Laksana, is optimistic that the presence of the IKN will encourage the achievement of investment targets by the end of the year.
In addition, the agricultural sector around East Kalimantan and its surrounding areas, including South Sulawesi, is predicted to experience increased demand due to the new market from the IKN. During his visit to South Sulawesi, President Joko Widodo highlighted the need for agricultural products such as rice, vegetables, and onions that can be supplied by local farmers to meet demand in the IKN. Thus, the IKN not only provides direct benefits to East Kalimantan but also has the potential to drive the economy of the surrounding areas.
One of the major goals of the IKN development is to create equitable development that has been difficult to achieve with the pattern of economic centralization in Java. This development reflects the government’s desire to develop Indonesia evenly, by growing new economic centers that have a direct impact on the welfare of local communities.
IKN is a symbol of a modern and sustainable Indonesia, where centers of economic growth are spread across various regions and are no longer concentrated only on Java Island. This project will open up new business opportunities, create jobs, and bring prosperity to local communities, especially in eastern Indonesia. With government support and local community involvement, IKN has the potential to become a new epicenter of growth that will have a long-term impact on the Indonesian economy.
The success of the IKN development requires ongoing commitment and synergy from various parties, including the central government, regional governments, and the community. Acting Deputy for Facilities and Infrastructure of the IKN Authority, Danis Sumadilaga, said that the development of the IKN will remain a priority, with a target until 2028. The sustainability of this project is also supported by the Minister of Forestry, Raja Juli Antoni, who stated that Prabowo plans to complete the development of the IKN in four years, so that this project can immediately provide real benefits to the people of Indonesia.
The commitment to the sustainability of the IKN development under the Prabowo Subianto administration shows the determination to create a fairer economic equality for all Indonesian people. By making the IKN a new economic center outside Java, the government aims to reduce inequality between regions, attract investment, and empower local communities. This step is expected to bring Indonesia into a new era where economic growth and development occur inclusively and evenly throughout the country.
*The author is an economic observer
