Not a sinking ship: Jakarta aims for ‘global city’ status even after capital shifts to Nusantara

[JAKARTA] Six weeks from now on Aug 17, Indonesia will celebrate its Independence Day. It will also be when Nusantara – a modern city being built on the eastern coast of Borneo – begins operations, officially replacing the congested and polluted Jakarta as the country’s new capital.

While all eyes are on the US$32 billion Nusantara as it takes shape, officials in Jakarta – a city that is sinking at an alarming rate into the Java Sea – have taken measures to preserve its status as an economic and commercial centre that will be attractive to investors and businesses for decades to come.

In March this year, Indonesia’s parliament designated a “special status” for Jakarta, which maintains the sprawling metropolis as the country’s economic hub.