• Home
  • Politics
  • Health
  • World
  • Business
  • Finance
  • Tech
  • More
    • Sports
    • Entertainment
    • Lifestyle
What's Hot

Trump Announces First Post-Tariff Trade Deal

May 8, 2025

100 Funny Father’s Day Quotes for Hilariously Relatable Humor (and Plenty of Love Too)

May 8, 2025

Top 10 Benefits Of Acupuncture

May 8, 2025
Facebook Twitter Instagram
  • Contact
  • Privacy Policy
  • Terms & Conditions
Thursday, May 8
Patriot Now NewsPatriot Now News
  • Home
  • Politics

    Security video shows brazen sexual assault of California woman by homeless man

    October 24, 2023

    Woman makes disturbing discovery after her boyfriend chases away home intruder who stabbed him

    October 24, 2023

    Poll finds Americans overwhelmingly support Israel’s war on Hamas, but younger Americans defend Hamas

    October 24, 2023

    Off-duty pilot charged with 83 counts of attempted murder after allegedly trying to shut off engines midflight on Alaska Airlines

    October 23, 2023

    Leaked audio of Shelia Jackson Lee abusively cursing staffer

    October 22, 2023
  • Health

    Disparities In Cataract Care Are A Sorry Sight

    October 16, 2023

    Vaccine Stocks—Including Pfizer, Moderna, BioNTech And Novavax—Slide Amid Plummeting Demand

    October 16, 2023

    Long-term steroid use should be a last resort

    October 16, 2023

    Rite Aid Files For Bankruptcy With More ‘Underperforming Stores’ To Close

    October 16, 2023

    Who’s Still Dying From Complications Related To Covid-19?

    October 16, 2023
  • World

    New York Democrat Dan Goldman Accuses ‘Conservatives in the South’ of Holding Rallies with ‘Swastikas’

    October 13, 2023

    IDF Ret. Major General Describes Rushing to Save Son, Granddaughter During Hamas Invasion

    October 13, 2023

    Black Lives Matter Group Deletes Tweet Showing Support for Hamas 

    October 13, 2023

    AOC Denounces NYC Rally Cheering Hamas Terrorism: ‘Unacceptable’

    October 13, 2023

    L.A. Prosecutors Call Out Soros-Backed Gascón for Silence on Israel

    October 13, 2023
  • Business

    Trump Announces First Post-Tariff Trade Deal

    May 8, 2025

    Electric Vehicle Sales Nosedive As GOP Takes Buzzsaw To Biden’s Mandate

    May 7, 2025

    Tyson Foods Announces It Will Bend The Knee To Trump Admin’s New Rules

    May 7, 2025

    Federal Reserve Holds Interest Rates Steady Despite Pressure From Trump

    May 7, 2025

    ‘Wait Them Out’: John Kennedy Tells Larry Kudlow One Lie He Suspects China’s Telling US

    May 7, 2025
  • Finance

    Ending China’s De Minimis Exception Brings 3 Benefits for Americans

    April 17, 2025

    The Trump Tariff Shock Should Push Indonesia to Reform Its Economy

    April 17, 2025

    Tariff Talks an Opportunity to Reinvigorate the Japan-US Alliance

    April 17, 2025

    How China’s Companies Are Responding to the US Trade War

    April 16, 2025

    The US Flip-flop Over H20 Chip Restrictions 

    April 16, 2025
  • Tech

    Cruz Confronts Zuckerberg on Pointless Warning for Child Porn Searches

    February 2, 2024

    FTX Abandons Plans to Relaunch Crypto Exchange, Commits to Full Repayment of Customers and Creditors

    February 2, 2024

    Elon Musk Proposes Tesla Reincorporates in Texas After Delaware Judge Voids Pay Package

    February 2, 2024

    Tesla’s Elon Musk Tops Disney’s Bob Iger as Most Overrated Chief Executive

    February 2, 2024

    Mark Zuckerberg’s Wealth Grew $84 Billion in 2023 as Pedophiles Target Children on Facebook, Instagram

    February 2, 2024
  • More
    • Sports
    • Entertainment
    • Lifestyle
Patriot Now NewsPatriot Now News
Home»Finance»Indonesia Unveils Incentives For Investors in New Capital City
Finance

Indonesia Unveils Incentives For Investors in New Capital City

March 10, 2023No Comments4 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Indonesia Unveils Incentives For Investors in New Capital City
Share
Facebook Twitter LinkedIn Pinterest Email

ASEAN Beat | Economy | Southeast Asia

Whether the $34 billion Nusantara project succeeds depends on whether the government can attract sufficient foreign investment.

A digital rendering showing the layout of the presidential palace compound at the new capital city is displayed at its construction site in Penajam Paser Utara, East Kalimantan, Indonesia, Wednesday, March 8, 2023.

Credit: AP Photo/Achmad Ibrahim

Advertisement

Indonesia has announced a range of new incentives for international firms to invest in its new capital, in a bid to speed up the sluggish progress of the city’s construction. Nusantara, as it is known, is currently being carved out of the red earth of East Kalimantan province on the island of Borneo, at the exact geographic heart of the Indonesian archipelago.

According to a new policy announced on March 6, the government will provide up to 100 percent corporate tax holiday for companies investing at least 10 billion rupiah ($650,745) in the new capital, as Bloomberg reported yesterday. These tax holidays will last between 10 and 30 years, depending on the sector, and will be in place the longest – until 2035 – for those firms involved in setting up Nusantara’s infrastructure and public services.

As Reuters reported, “Tax cuts will also be given to foreign companies moving their headquarters to Nusantara and financial firms setting up in its financial zone. Research and development costs will be tax deductible, while import taxes on capital goods will be removed, among other incentives.”

Indonesia began construction of the new capital in mid-2022, and the project stands as a monument to the legacy of President Joko Widodo, whose tenure has focused heavily on domestic economic development. The new capital is slated to replace Jakarta, a megalopolis of 10.5 million that is congested, plagued by air pollution, and gradually falling into the Java Sea. The Indonesian government says that Nusantara will be built on sustainable principles and will be largely powered by renewable energy, though environmentalists claim that the city’s construction in the wilds of East Kalimantan will speed up deforestation in one of Asia’s few remaining swathes of pristine tropical rainforest.

See also  Deciphering the Changing Contours of the China-US Chip War

During a media tour of the construction site in Kalimantan this week, Bambang Susantono told reporters that Indonesia will officially declare the city its new capital in the first half of 2024. Indeed, the government has previously declared its intention to have the capital ready by August 17 of next year – Indonesia’s Independence Day. The city’s infrastructure is now reportedly 14 percent complete.

Enjoying this article? Click here to subscribe for full access. Just $5 a month.

Given that the state is only stumping up a fifth of the estimated $34 billion cost for the construction of the capital, its ability to “sell” the project to foreign investors will be crucial to its success. The incentives were first aired by the government in October, when Bambang Susantono, the chairman of the Nusantara National Capital Authority, said the $34 billion project offered a “lifetime opportunity” for investors.

Yet the project is in a state of uncertainty, with elections next February set to end the tenure of Jokowi, who has been closely associated with the project. With Jokowi barred from seeking a third term, some, including potential investors, have raised questions as to whether his successor will back the multibillion-dollar project. As Reuters reported, a survey of 170 experts conducted last June by the Centre for Strategic and International Studies in Jakarta found nearly 59 percent were unsure the new capital city would ever be built, citing uncertainty over funding and management.

Bambang this week waved these concerns aside, stating that the project would proceed as planned no matter who is elected next February – and indeed, the government may now have proceeded too far with Nusantara to abandon it. As such, there is a high likelihood that the project gets built, but the fact that the government is needing to introduce such strong incentives to attract investors suggests that the project’s progress will be long and potentially halting.

See also  Inflation in Japan's capital slows but pressures persist
Capital City Incentives Indonesia investors Unveils
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Ending China’s De Minimis Exception Brings 3 Benefits for Americans

April 17, 2025

The Trump Tariff Shock Should Push Indonesia to Reform Its Economy

April 17, 2025

Tariff Talks an Opportunity to Reinvigorate the Japan-US Alliance

April 17, 2025

How China’s Companies Are Responding to the US Trade War

April 16, 2025
Add A Comment

Leave A Reply Cancel Reply

Top Posts

F1 viewership numbers in the US allay fears of Max Verstappen’s dominance adversely affecting the sport

August 15, 2023

Dow Jones Futures: Bulls Resist Pullback As Tesla, Nvidia Run; 5 Stocks Near Buy Points

June 21, 2023

Senators to Introduce Bill to Help Ban or Prohibit Foreign Technology — Including TikTok

March 15, 2023

DOT Announces Rule Calling For Wheelchair-Accessible Toilets On Single-Aisle Planes

July 30, 2023
Don't Miss

Trump Announces First Post-Tariff Trade Deal

Business May 8, 2025

President Donald Trump announced Thursday the U.S. has reached a trade agreement with the U.K.,…

100 Funny Father’s Day Quotes for Hilariously Relatable Humor (and Plenty of Love Too)

May 8, 2025

Top 10 Benefits Of Acupuncture

May 8, 2025

Electric Vehicle Sales Nosedive As GOP Takes Buzzsaw To Biden’s Mandate

May 7, 2025
About
About

This is your World, Tech, Health, Entertainment and Sports website. We provide the latest breaking news straight from the News industry.

We're social. Connect with us:

Facebook Twitter Instagram Pinterest
Categories
  • Business (4,110)
  • Entertainment (4,220)
  • Finance (3,202)
  • Health (1,938)
  • Lifestyle (1,626)
  • Politics (3,084)
  • Sports (4,036)
  • Tech (2,006)
  • Uncategorized (4)
  • World (3,944)
Our Picks

Malaysia reverses plan to take legal action against Meta over harmful content

July 29, 2023

Republican governor offers voters a warning about Trump praising Andrew Cuomo to attack Gov. DeSantis: ‘It’s bull***t’

June 2, 2023

How to Score an Official Football Jersey of Your Choice for $50

September 8, 2023
Popular Posts

Trump Announces First Post-Tariff Trade Deal

May 8, 2025

100 Funny Father’s Day Quotes for Hilariously Relatable Humor (and Plenty of Love Too)

May 8, 2025

Top 10 Benefits Of Acupuncture

May 8, 2025
© 2025 Patriotnownews.com - All rights reserved.
  • Contact
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.