Moving Indonesia's capital opens up fresh options in real estate

INDONESIA'S announcement to relocate its capital last month is a move that has been discussed for decades since the country's independence in 1945.

But it was President Joko Widodo who finally pushed ahead, selecting Kalimantan - the Indonesian portion of the island of Borneo.

The rationale behind this move is multi-fold: The Indonesia government explained that a capital move would help tackle the economic disparities between Java and other islands. Java alone currently contributes to 58.5 per cent of the GDP in a country of 17,000 islands. Moving the capital will spread some of this economic activity eastwards to Borneo.