President Joko Widodo (Jokowi) claims that the construction of the new capital city, Ibu Kota Negara (IKN) Nusantara, has significantly impacted the economy of East Kalimantan (Kaltim). He urged the public to review economic growth data from Bank Indonesia (BI), indicating consistent growth each quarter. According to Jokowi, the economic growth rate in the region surrounding IKN is now above 7%, a notably high figure. In a video posted on the Presidential Secretariat's YouTube channel on Monday (29/7), Jokowi acknowledged that the construction has disrupted local activities but assured that these impacts are limited to the current phase of basic infrastructure development.
Jokowi refuted claims that the IKN project is being rushed, affirming that its progress aligns with the established roadmap. He emphasized that the work is proceeding according to plan and schedule, with specific stages of construction agreed upon from the initial phase to subsequent phases. Addressing the upcoming 79th Independence Day celebrations at IKN, Jokowi clarified that the event is intended to motivate rather than pressure the workers, ensuring that the project progresses according to the established timeline. Data from the Central Statistics Agency (BPS) shows that East Kalimantan's economy grew by 7.26% year-on-year in the first quarter of 2024. The highest growth in production was seen in the public administration, defense, and compulsory social security sectors at 17.44%. In terms of expenditure, the household non-profit institutions (LNPRT) component saw the highest growth at 18.12%. East Kalimantan contributed the most to regional value-added in Kalimantan, accounting for 48.12% in the first quarter of 2024.
