Indonesian President Joko Widodo Begins Work in New Capital Amid Delays

Indonesian President Joko Widodo has officially commenced his work from the presidential palace in Nusantara, the country’s new administrative capital, which is a key project of his presidency. After spending his first night in the nearly completed palace, Widodo expressed mixed feelings about the experience, noting the challenges ahead. Currently, the palace is reported to be 90% complete, with thousands of workers still on-site as preparations continue for the upcoming Indonesia Independence Day celebration on August 17, which is anticipated to mark the official transfer of the capital from Jakarta. However, the ambitious relocation plan has faced significant hurdles, including slow construction progress and missed deadlines. These issues have led to the resignations of key officials, including the head of the Nusantara Capital Authority. Plans to move 12,000 civil servants to the new capital, initially set for July, have also been delayed. Widodo has indicated that by Independence Day, Nusantara will be approximately 15% complete, with full completion not expected until 2045. The administration has heavily relied on private investment for the project, with the state covering only 20% of the costs, primarily for essential infrastructure. Despite some advancements, uncertainties linger regarding the official relocation of the capital, as Widodo has yet to issue a formal decree. This decree is crucial, as Jakarta will remain the capital until it is signed, and the incoming president, Prabowo Subianto, may face challenges in attracting investors to the megaproject. As the inauguration of Subianto approaches on October 20, the future of Nusantara remains uncertain, with concerns about infrastructure and investment potentially complicating the transition.