SOUTHEAST ASIA CONSTRUCTION04 Apr 2022
ADB to support planning of Indonesia’s new capital

The Asian Development Bank (ADB) has announced that it will help Indonesia plan its new capital, Nusantara (Indonesian term for ‘archipelago’), as a carbon-neutral and inclusive city.

ADB aims to help the Nusantara National Capital Authority (NNCA) design the new city, assess its potential environmental and social impacts, and mobilise financing from public and private sectors to support the city’s development. NNCA, the government agency in charge of planning and constructing the new capital, will also oversee the government’s transition to Nusantara and eventually become the city’s administrator.

“ADB looks forward to helping plan for the historic relocation of Indonesia’s capital from Jakarta to Nusantara,” said Ahmed M. Saeed, ADB vice president for East Asia, Southeast Asia and the Pacific.“Developing a brand-new city provides the unique opportunity to incorporate the latest thinking on what makes a city pleasant and efficient to live, work and play. ADB will share international lessons learned to help NNCA design and fund construction of the new capital.”

As a first step, ADB will support NNCA’s effort to organise an international conference to learn how other countries have handled the development of carbon-neutral and inclusive cities.

“We thank ADB for its timely support as we move ahead with the development of Nusantara,” said NNCA chairman Bambang Susantono. “There is substantial experience in creating carbon-neutral and inclusive cities elsewhere, and we are keen to work with ADB to understand these experiences and incorporate lessons learned.”

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