China's Massive Investment in IKN Surpasses Rp 70 Trillion: A Golden Opportunity for Indonesia's Business Ecosystem

Of the total investment, approximately Rp 68.4 trillion comes from the Public-Private Partnership (KPBU) scheme, targeting housing, the Integrated Mass Transit System (Moda Unik Terpadu/MUT), and road infrastructure. Additionally, a direct foreign investment (FDI) of Rp 500 billion has been made by PT Delonix Bravo Investment, which has already begun construction on the Delonix Nusantara Commercial Complex since September 2024.

Two major Chinese consortiums are also currently undergoing feasibility studies for large-scale KPBU projects: CHEC–IJM and CSCEC–CREC, each with a proposed project value of Rp 27.1 trillion and Rp 27.9 trillion, respectively. Meanwhile, a separate KPBU housing project by the IJM–CHEC consortium plans to build 20,000 housing units for civil servants (ASN) in WP 1B, with an estimated value of Rp 13.4 trillion.

These developments represent a significant opening for local businesses across sectors such as logistics, construction, building materials, and residential real estate surrounding the IKN area. As demand for skilled labor, technology, and strategic partnerships grows, opportunities for collaboration and growth will follow.

With 36 Letters of Interest (LoI) from Chinese companies received by OIKN as of May 2025—including 32 for KPBU schemes and 4 for direct investments—foreign capital inflow into IKN is expected to continue accelerating.

SSA Group invites business players to seize this moment. Don't just watch the transformation—be part of it. Let us support your expansion into IKN with strategic legal, market, and operational assistance.

Satra Sinar Abadi Group

Indonesia's ambition to develop Ibu Kota Nusantara (IKN) as its new capital has drawn substantial interest from international investors, particularly China. Recent reports from Otorita IKN reveal that Chinese investment has reached almost Rp 70 trillion, signaling not only stronger bilateral ties but also increasing global confidence in IKN as a key economic zone.