ASIATODAY.ID, JAKARTA – The Indonesian Archipelago Capital Authority (IKN) is exploring cooperation with a number of Russian investors to develop a smart city project in IKN.
Deputy for Green and Digital Transformation of the IKN Authority, Mohammed Ali Berawi, revealed that the sectors that are the focus of potential cooperation with Russia are the transportation technology and urban planning sectors.
Meanwhile, Russian companies that visited the IKN Authority Office on Tuesday, November 28 2023 included representatives from Mosinzhproekt, BIMIX, Karbonit, Transmashholding, and ANO.
“IKN welcomes this visit and hopes that it will be the start of real cooperation through the submission of a Letter of Intent (LOI). The archipelago is an inclusive city, so we ensure that investment opportunities will be open to various business scales,” said Ali in his official statement, quoted Thursday , November 30, 2023.
Ali also explained that the development of IKN with the smart city concept includes the provision of smart governance features, advanced transportation, modern lifestyle, renewable energy and natural resources, industry and human resources, as well as infrastructure and the built environment. Where, Russia is seen as having deep experience in these fields.
In line with this, Deputy Head of the Department for External Economic and International Relations, Vyacheslav Manuylov said that his party is starting to consider the potential for investment in IKN.
“Our visit to the IKN office in Jakarta shows the interest of Moscow and Moscow businessmen in IKN,” he said.
Apart from that, the Russian investor representative also said that Russia was able to provide input for electric transportation, congestion solutions, and also the application of waste-to-energy (WTE) technology in the archipelago.
Furthermore, Moscow City Business Ombudsman, Tatiana Mineeva stated that many Moscow entrepreneurs are interested in expanding their businesses in the Southeast Asia region and IKN is one of the promising projects.
“The main driver of cooperation for Moscow is cooperation requirements and policies that facilitate business protection and make it easier for entrepreneurs,” added Tatiana.
As is known, the government is committed to providing tax incentives in accordance with statutory provisions to maintain the investment climate in IKN Nusantara. These provisions are contained in Government Regulation Number 17 of 2022 concerning Funding and Relocation of the National Capital and Administration of the Special Capital Region of the Archipelago.
In article 188 of PP Number 17 of 2022, it is stated that the provision of fiscal facilities or incentives can take the form of a reduction in income tax for taxpayers who invest new capital in pioneer industries, or a tax holiday, in accordance with statutory provisions in the field of taxation. Not only that, the government also opens wide opportunities for potential investors to invest in IKN by granting Cultivation Rights for up to 95 years. (AT Network)
Check out other news and articles at Google News