Breaking News

APBN 2020 No Budget for prospective capitals in East Kalimantan

APBN 2020 No Budget for prospective capitals in East Kalimantan

JBN.CO.ID ■ Funding for the development of prospective capitals in East Kalimantan continues to reap polemics.

Deputy Chairman of the Indonesian House of Representatives Fadli Zon questioned the funding scheme for the planned move of the national capital, which is estimated to cost Rp.466 trillion.

"What kind of private and SOE scheme? SOEs only lose money. Especially especially in the current condition. Private domestic or foreign later ?," he said at the Nusantara Building of the MPR / DPR RI in Jakarta, Tuesday (03/9 / 2019).

He asked if it was realized, the construction of new capitals would not utilize foreign funds so they would not be controlled by foreign interests.

Gerindra Party politician said the relocation of the country's capital was only a discourse, because until now there has been no legal and constitutional documents submitted by the government to the DPR.

In the financial note and the 2020 State Budget Bill, he continued, there is no expenditure budget that supports the plan to relocate new capital.

"This has been confirmed by the Minister of Finance, no plans were taken in the 2020 budget posture," he said while giving a speech at a seminar on plans to move national capital to be held at the Nusantara Building of MPR / DPR. RI.

Previously, Minister of National Development Planning / National Development Planning Agency (Bappenas) Bambang Brodjonegoro explained that one of the funding schemes for infrastructure development, including roads, airports and ports in the new capital, would be financed by SOEs in the form of investment.

Estimated project costs and physical financing of new capital will use financing from three sources, namely the National Budget, a cooperation scheme between the government and a Business Entity (PPP), and a scheme for the utilization or cooperation of private parties.

According to the Ministry of PPN / Bappenas, the estimated total cost of the project and the physical financing of national capital reached Rp466 trillion.

The estimated total cost consists of three funding sources, namely the APBN Rp74.44 trillion, the PPP scheme Rp265.2 trillion, and the private sector through a collaborative utilization scheme of Rp127.3 trillion.