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IKN Nusantara Encourages Investment in Human Resources and Economic Growth in East Kalimantan

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By: Maya Naura Lingga )*

The National Capital City (IKN) of the Archipelago will encourage economic growth in East Kalimantan, because when the capital city is moved there it will automatically have a positive impact on business and the economy. Then, IKN will also encourage investment in human resources so that residents in East Kalimantan will be smarter. HR investment is very important because it is a long-term investment.

Indonesia made new history by moving its capital city from DKI Jakarta to North Penajam Paser, East Kalimantan. IKN which is named ‘Nusantara’ is very strategic because it is in the middle of this country. Nusantara is predicted to become an ultra-modern city and the pride of Indonesia, because its design is not only aesthetically pleasing but also environmentally friendly.

In developing the national capital, the government is working hard to make it happen. Development projects must be prepared carefully because this is a giant project and must be carried out carefully. Even investors are allowed to support the development of IKN because they are protected by the government.

Apart from investment in infrastructure, investment is also made in HR (human resources) at IKN.

Dr. Ir Meiki P, MM, an academic from FEB Untag Samarinda, stated that in connection with the transfer of the Archipelago’s IKN to East Kalimantan, it is necessary to invest in human capital or human resources (HR). The reason is that long-term development will make a major contribution to economic growth if the country or region invests large enough funds for human resource development.

Meiki continued, it should be the case that the development of IKN should involve local communities so as not to cause social problems and they are needed to support the existence of IKN Nusantara. IKN must take advantage of the demographic bonus in East Kalimantan to support the development process. There must be cooperation between stakeholders so that the development of the National Archipelagic Sciences runs smoothly and smoothly.

In a sense, the government is not only obliged to encourage investment in infrastructure and the economy, but also to invest in human resources in IKN. With investment in human resources, the people of Kalimantan will become smarter, more skilled and have a better standard of living.

An example of human resource investment is holding workshops or training, which are aimed at residents in North Penajam Paser and its surroundings. As natives of IKN, they must be prosperous by being given skills by the government.

The Governor of East Kalimantan H. Isran Noor appreciated the training held at the zero point of IKN Nusantara. He felt happy and proud because this was the first time that training had been held in his area, which was conducted by the Ministry of Manpower.

The training provided by the ministry is of course very useful for the people of Kalimantan. They can learn to have new skills and become more proficient in technology, because the training is computer-based.

H. Isran Noor added, this training was a form of supporting the country’s economic recovery. This means that the state has started to prepare competent human resources or workforce in various fields, who are truly competent. The competency-based training needed by companies, in order to support the development of IKN. The prospect of being absorbed in the company is also great.

In a sense, the government wants the indigenous people of Kalimantan, especially East Kalimantan, to increase their self-competence. If you already have good skills and knowledge, you will be able to be absorbed into various new companies in IKN Nusantara. They can be employees and have a decent salary.

Meanwhile, IKN also encourages economic growth in Penajam Paser Utara and its surroundings. Head of Bank Indonesia Representative for the Province of East Kalimantan (Kaltim) Ricky Perdana Gozali stated that various physical projects in the Archipelago National Capital (IKN) area have contributed to the rate of economic growth in this area, including from the investment side.

East Kalimantan’s investment performance in the fourth quarter of 2022 was recorded to grow by 8.32 percent, higher than the previous quarter which grew 5.90 percent. This significant growth occurred in line with the continued development of IKN infrastructure.

Ricky Perdana continued, as projects at the IKN continue to the future, he estimates that the economy of East Kalimantan in the first quarter of 2023 will still grow positively, although slightly slower than in the fourth quarter of 2022. This estimate is driven by various factors, including high rainfall rain at the beginning of the year and there is a seasonal pattern of coal production which tends to be less in the first quarter.

In a sense, infrastructure development has a positive impact on economic growth in East Kalimantan. When many roads are built, it will facilitate the mobility of residents and they can get to work quickly. In addition, good roads also facilitate trade because the delivery of goods will be smoother. As a result, the people’s economy also increased drastically.

Residents of East Kalimantan, especially in Penajam Paser Utara, are proud of the fast and neat infrastructure development in their area. They have long wanted a representative highway to facilitate mobility.

Development also fuels economic growth as project workers will need food,  laundry facilities,  etc. That way the local population will provide it and their economy will get better, thanks to the development of the National Archipelago’s IKN.

IKN Nusantara encourages investment in human resources and the indigenous people of East Kalimantan will be of higher quality, because they receive training from the local government. With this workshop, they are more skilled and adept at entrepreneurship. IKN also encourages economic growth in East Kalimantan and improves the standard of living of its people.

)* The author is a contributor to Nusantara Reading Room

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