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Thursday, 23 June 2022

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Interview with The Daily NNA Media Japan Regarding the Development Process of the National Capital (IKN)

Head of Bappeda, East Kalimantan Province, Prof. Dr. Ir. H. M. Aswin, MM accompanied by the Head of Infrastructure and Regional Affairs, Mr. Saur Parsaoran. T, S.Pi, MEMD received a visit from Japanese NNA media for an interview regarding the progress of IKN development.

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The media wants to dig deeper into the relationship between the roles of Bappeda-Bappenas and the IKN Authority, infrastructure development, East Kalimantan economic projections, and population projections.

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Talking about the role of the East Kalimantan Provincial Bappeda, Prof. Aswin explained that based on the division of coordination functions between the parties, it was carried out in accordance with their main tasks and functions. In formulating regional development policies, the East Kalimantan Province Bappeda determined that the relocation of the National Capital is an important strategic issue, both in the short, medium and long term. The relocation of the country's capital has greatly influenced the development strategy and policy direction of East Kalimantan Province.

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In accordance with Presidential Decree 20 of 2016, Bappenas has the function of reviewing, coordinating and formulating policies in the field of national development planning, meanwhile in accordance with Gubernatorial Regulation Number 11 of 2020 Bappeda of East Kalimantan Province has the function Carrying out the formulation of technical policies in the planning sector which is the province's regional authority. Furthermore, Law Number 3 of 2022 states that the Nusantara Capital Authority is the implementer of activities for the preparation, construction and relocation of the National Capital as well as the organizer of the Special Regional Government for the Archipelago Capital.

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Regarding infrastructure development, Mr. Saur explained that in accordance with Presidential Decree no. 64 of 2022 concerning Spatial Planning for the Strategic Area of ​​the Indonesian Capital City 2022 – 2042 Article 36 The Central Government through the Ministry of PUPR will build the Balikpapan Km. 11 - Balang Island Junction, Sepinggan Airport Toll Road – Balsam Toll Road, VVIP Airport Toll Road – KIPP Outer Ringroad and Balang Island Junction Toll Road - KIPP.

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The construction of the toll road is intended as a transportation network system to improve the quality and reach of services for the movement of people as well as goods and services which will function as a driver of economic growth in IKN Nusantara

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Discussing economic growth, NNA media asked whether East Kalimantan's economic growth was currently starting to increase along with the construction of the IKN. Responding to this, Mr Aswin explained that currently the economic condition of East Kalimantan Province (Kaltim) in the first quarter of 2022 experienced growth of 1.85 percent, when compared to the same quarter the previous year (y-to-y), illustrating the economy of this region has improved. Meanwhile, in terms of expenditure, the gross domestic fixed capital formation component experienced the highest growth, namely 3.51 percent.

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Economic growth in the first quarter of 2022 was driven by positive performance achievements in almost all business fields, except for the educational services business sector which fell 0.94 percent, then agriculture, forestry and fisheries fell 0.44 percent.

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Economic growth is expected to reach 7.3%. Moving IKN to East Kalimantan will make it an Economic Super Hub which will shift the portion of economic growth and development. "The move of IKN to East Kalimantan will distribute foreign exchange from the center to the regions and equal distribution from the west to the east. "Currently, as a transition period, there is an increase, although not yet significant, the regions and center are still preparing everything for the basis of IKN development," he said

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When asked about the response of the people of East Kalimantan, especially the indigenous people, Mr. Aswin stated that the people of East Kalimantan welcomed the existence of IKN, including the indigenous communities around the IKN area, "the response of the people of East Kalimantan was very happy, including the people in the area where IKN is located." However, he reminded the East Kalimantan Government and traditional leaders to prioritize absorbing local workers. As is done by other countries, for example Australia, which pays attention to local aboriginal workers.

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