Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia dismisses speculations that investment in the Nusantara Capital City (IKN) has stagnated, saying that investment in the future capital city is being accelerated after the 2024 elections.

“IKN development is not slowing down. So according to the target, we will bring everything to IKN,” Bahlil told a press conference on the realization of investment in the first quarter of 2024, on Monday, April 29, 2024.

According to him, investment from domestic investors have started to roll out , including hotels, office towers, sport venues and public facilities

"PIK and several consortiums have made progress in July-August ," he said .

As for Sukanto Tanoto, founder and chairman Royal Golden Eagle (RGE), who is reported to invest in IKN, Bahlil said he is handling request for land from the consortium.

"We will prepare for the land first, but they have communicated the proposal to me and the National Capital Authority to discuss this specifically and it will be solved soon," he said.

Bahlil said the government would allocate second clusters for foreign investment as the government wants domestic investment to secure the first clusters as fortress or filters as required in the protocol .

"For transportation sector that requires technology, we encourage foreign investors who have the technology and experience," he said.

In coming months, Bahlil added, a team will be formed by President Joko “Jokowi” Widodo to accelerate investment in IKN. The team is formulated comprehensively to coordinate with all stakeholders including ministers, local governments, indigenous people and investors.

As previously reported by Kompas.com, Bahlil reveals that many investors have begun to doubt the construction of the IKN after a presidential candidate for the 2024 elections criticizing the construction of the new capital city in East Kalimantan.

“Now many investors are starting to ask questions, starting to have doubts after a presidential candidate delivering his vision and mission which created doubts on the investors,” Bahlil said last December as quoted by Kompas TV.

Bahlil did not mention the presidential candidate he was referring to. However, he emphasized that the IKN development project has a strong legal basis in the form of Law No. 21/2023 on IKN.

According to Bahlil, when the IKN Law was formulated, almost all factions of political parties in the House of Representatives (DPR) agreed. With this law, he said, whoever the government leader is in the future, is obliged to continue the development of the IKN.