Nine New Projects Signed for Phase Two of Indonesia's IKN Development

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TEMPO.CO, Jakarta - Nusantara Capital City (IKN) has signed nine new cooperation agreements for implementing new projects as part of the second stage of the development of the new capital city in the Penajam Paser Utara and Kutai Kartanegara Regencies, East Kalimantan Province.

"The IKN is now entering the second stage of development," said the Acting Deputy for Infrastructure and Facilities of the IKN Authority, Danis H Sumadilaga, when asked about the progress of IKN in Sepaku, Penajam Paser Utara, on Saturday, June 28, 2025, as quoted from Antara.

The new work package signed in the second stage IKN development includes seven infrastructure road projects. In addition, there are projects for the arrangement of sports areas and green open spaces, as well as the Sepaku area arrangement project.

All development will continue until the development of the judicative, legislative areas, the completion of drinking water distribution lines, and other road networks.

Danis mentioned that the arrangement of the Sepaku area is not an ordinary project because it is carried out in an area that is already active socially and economically. Currently, the process is heading towards a work contract of more than a year because it is carried out amidst the community's life.

He also emphasized that the arrangement of the Sepaku area being worked on is not a development in empty land. The Sepaku Market, for example, is a center of economic activities for the community with a market model chosen through a community decision-making process (voting).

The market traders at Sepaku Market will be temporarily relocated during the market's construction process on the village land. Once the construction period is over, the traders will return to occupy the market. "The arrangement of sports areas and green open spaces, such as the developed glamping area, is transformed into a functional and educational public space," said Danis.

The upgraded glamping area has been transformed into an open green space that the community can use for education, recreation, and research. The area contains tropical forests that have great potential to become a center for forestry learning and research.

The value of the road quality improvement work package project covering 12.3 kilometers is approximately Rp3.042 trillion, and the work package for the arrangement of sports areas, green open spaces, and the Sepaku area is around Rp313.2 billion. The funds for the work package are sourced from the 2025 state revenue and expenditure budget (APBN)," said Danis.

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