1. Home
  2. / Construction
  3. / Indonesia Bets $75 Billion To Tackle Crisis: Country Builds $40 Billion Wall And Erects New Capital Nusantara For $35 Billion In The Borneo Jungle To Escape City Sinking
Reading time 3 min of reading Comments 0 comments

Indonesia Bets $75 Billion To Tackle Crisis: Country Builds $40 Billion Wall And Erects New Capital Nusantara For $35 Billion In The Borneo Jungle To Escape City Sinking

Published on 04/03/2026 at 20:56
Updated on 04/03/2026 at 20:57
Muro, Jacarta, Indonésia
Imagem: Ilustração
  • Reação
Uma pessoa reagiu a isso.
Reagir ao artigo

Nusantara Capital and US$ 40 Billion Seawall Mark Indonesia’s Strategy to Address Jakarta’s Sinking of Up to 25 cm Per Year and Reorganize the Government Seat by 2045

The Nusantara capital is the center of Indonesia’s national plan to address Jakarta’s sinking, which reaches 25 cm per year. The project combines the construction of a new capital on the island of Borneo and a US$ 40 billion seawall to protect the current metropolis.

Why Nusantara Capital Was Planned in Borneo

The Nusantara capital project was conceived as a structural response to the urban and environmental crisis affecting Jakarta.

The new city is being planned in Borneo with the aim of decentralizing the economy and reducing population pressure on the island of Java.

According to official planning, the new location offers stable ground and greater availability of water resources.

These conditions contrast with the scenario in Jakarta, which faces constant flooding problems and geological instability in coastal areas.

The Indonesian government’s proposal is to transform the region into a “smart and green city.” The plan envisions that by 2045, urban infrastructure will be integrated with the natural jungle environment, creating a new political and technological center in Southeast Asia.

The US$ 40 Billion Seawall Planned for Jakarta

As the construction of the Nusantara capital progresses in Borneo, Jakarta is undergoing a parallel large-scale engineering project.

The country is erecting the so-called Great Garuda, a monumental seawall aimed at containing tidal advances.

The structure will also serve to create freshwater reservoirs. This measure seeks to reduce illegal groundwater extraction, one of the factors cited for the accelerated sinking of areas in the current capital.

This set of works represents an attempt to keep the city habitable while the administrative transfer gradually takes place to the Nusantara capital.

Structural Differences Between Jakarta and the New Capital

The comparison between the two cities reveals significant contrasts in geological and urban terms.

Jakarta is facing a sinking process that can reach up to 25 cm per year in coastal zones. The city also suffers from overcrowding, pollution, and recurrent flooding.

On the other hand, the Nusantara capital was planned on stable ground in Borneo. The proposed urban model prioritizes a green and smart city, with modern infrastructure and integration with natural ecosystems.

Despite this proposal, the main challenge for the new capital will be ensuring environmental preservation during urban expansion.

Environmental Criticism of the New Capital Project

Environmentalists have raised concerns about the environmental impact of constructing the Nusantara capital.

The main warning involves potential threats to orangutan habitats and indigenous communities living in the Borneo region.

Experts state that the risk is linked to the possibility of deforestation and loss of biodiversity if urban expansion is not controlled.

The Indonesian government claims that only degraded plantation areas will be used for the project. Nonetheless, international monitoring remains constant due to the region’s environmental sensitivity.

Indicators of the Crisis Leading to the Creation of Nusantara Capital

Various indicators monitored by geologists and infrastructure agencies help measure the severity of the situation in Jakarta.

Among the data presented by the Indonesian government and geoscience reports are:

  • Sinking rate of up to 25 cm per year in coastal zones.
  • Estimated cost of the seawall at US$ 40 billion.
  • Planned investment in the Nusantara capital of US$ 35 billion.
  • Goal of urban expansion and consolidation by 2045.

These numbers support the strategic decision to progressively transfer part of the country’s administrative structure.

How the Move to the New Capital Will Happen

The transfer process to the Nusantara capital will begin with ministries and public officials. The strategy aims to ease the population density of the island of Java and reorganize the country’s administrative structure.

Even with the move of the government seat, Jakarta will continue to function as the national financial center.

The current capital will undergo infrastructure reforms to cope with rising sea levels while the Nusantara capital solidifies as Indonesia’s new political hub.

With information from BMC News.

Inscreva-se
Notificar de
guest
0 Comentários
Mais recente
Mais antigos Mais votado
Feedbacks
Visualizar todos comentários
Romário Pereira de Carvalho

Já publiquei milhares de matérias em portais reconhecidos, sempre com foco em conteúdo informativo, direto e com valor para o leitor. Fique à vontade para enviar sugestões ou perguntas

Share in apps
0
Adoraríamos sua opnião sobre esse assunto, comente!x