Country Moves Its Capital to a Remote Island

The Indonesian parliament approved a bill on Tuesday to move the capital from Jakarta to Kalimantan on the island of Borneo. Indonesian Planning Minister Suharso Monoarfa told parliament after the bill's approval: "The new capital has a central function, serves as a symbol of national identity, and is also a new center for economic attraction." The new capital bill provides a legal framework for President Joko Widodo's massive $32 billion project, outlining how to finance and manage the capital's development. The minister announced on Monday that the new capital will be named "Nusantara," which is a term for the Indonesian archipelago in Javanese, chosen by the president, according to Reuters. Several Indonesian presidents have delayed plans to relocate the government from Jakarta, a city of ten million people struggling with chronic congestion, flooding, and air pollution. President Widodo first announced the plan in 2019, but progress was delayed due to the COVID-19 pandemic. Indonesia, the largest economy in Southeast Asia, sees the new capital as an "excellent center" for carbon reduction that will support the pharmaceutical, health, and technology sectors while promoting sustainable growth outside of Java.