Ibu Kota Nusantara development and investment

Development of Indonesia’s new capital, Ibu Kota Nusantara (IKN), is advancing through judicial and legislative infrastructure construction, with a target completion date for these districts set for late 2027.

The combined contract value for the legislative and judicial sectors is approximately Rp 11.3 trillion, consisting of Rp 8.24 trillion for the legislative area and Rp 3.06 trillion for the judicial area. The legislative complex will house facilities for the DPR, MPR, and DPD, including a plenary session building for 2,194 people and an open-air amphitheater named ‘Plaza Kerakyatan’ designed to accommodate 500 to 800 demonstrators.

In the judicial district, the Supreme Court building has reached 12.5 percent physical progress, while the Constitutional Court and Judicial Commission buildings are at 45.7 percent. Private investment momentum continues, notably through a Rp 1.25 trillion apartment project by Chinese investor PT Star Bright International Investment in partnership with Zhongda Jiancheng Engineering Management Group Co., Ltd. The four-tower project is expected to be completed by the end of 2026, with IKN Authority head Basuki Hadimuljono noting that over 100 units have already been reserved.

To sustain this momentum, the Nusantara Capital City Authority (OIKN) has been allocated an indicative budget of Rp 6.7 trillion in the 2027 Draft State Budget (RAPBN). OIKN Head Basuki Hadimuljono stated that Rp 5.3 trillion of this total is specifically designated to continue the construction of the legislative and judicial districts to meet 2027 infrastructure targets. The judicial district, which will include the Constitutional Court, Supreme Court, Judicial Commission, Justice Plaza, and a local mosque, is targeted for completion by December 25, 2027. The remaining budget is intended for the management and maintenance of existing assets, a cost currently at approximately Rp 500 billion per year.