THE relocation of Indonesia’s capital from Jakarta to Nusantara in East Kalimantan is one of the most ambitious national projects in Southeast Asia.
This development presents various opportunities and challenges that will reshape regional dynamics, trade, and cross-border cooperation for years to come, particularly for Sabah, which shares the island of Borneo with Indonesia.
Indonesia’s decision to establish Nusantara as its new administrative centre aims to reduce congestion in Jakarta and promote more balanced national development.
The current capital faces mounting challenges, including overpopulation, pollution, and environmental degradation, making relocation a strategic step in Indonesia’s long-term vision.
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