Softbank to invest up to $40 billion in Indonesia’s new capital, says Minister


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Softbank to invest up to $40 billion in Indonesia’s new capital, says Minister

On Friday, the 17th of January 2020, an Indonesian lawmaker said the Japanese investment conglomerate, SoftBank Group had offered the fast-growing South-east Asian economic HubSpot an investment of up to $40 billion into the country’s new capital city on Borneo Island, however, a spokesman for the Japanese tech conglomerate said no exact amount had been fixed yet.

In point of fact, latest media report unveiling SoftBank’s plan to invest as many as $40 billion in to Indonesia’s new capital city came forth nearly four months after the Indonesian President Joko Widodo had announced last August that his administration had been drawing out a plan to move the nation’s administrative capital to the Borneo island, situated in the East Kalimantan province, as President Widodo was seeking to relieve Jakarta, the former Indonesian capital city, from a “a heavy burden” of pollution and overcrowdings.

More importantly, although Indonesia had estimated the cost of moving its capital at around $33 billion, but Indonesia’s Coordinating Minister for Maritime Affairs and Investment, Luhut Pandijaitan was quoted saying to the reporters on Friday (January 17th) that the Japanese multinational conglomerate had already offered a stark sum of $40 billion adding, “So we’ll negotiate over the structure (of the investment). It could amount to $30-40 billion. ”