Not IKN, This is the Largest-Funded Strategic Project in 2022

The Indonesian government has designated 45 Strategic Priority Projects or *Major Projects* for 2022.

Of these projects, 13 are considered high-priority or *Highlight Major Projects*, one of which is the development of the new capital city (IKN).

This was established in Presidential Regulation No. 115 of 2021 concerning the Updating of the 2022 Government Work Plan (RKP), which serves as a guideline for the central and regional governments in the planning, budgeting, and implementation of development.

In the 2022 RKP document, the government allocated Rp965.45 billion for the IKN development. Rp166.85 billion comes from ministry/agency (K/L) expenditure support, government and business entity cooperation (KPBU), and special allocation funds (DAK). The remaining Rp798.6 billion comes from support from SOEs (State-Owned Enterprises).

This year's allocation for IKN development is relatively small compared to other main Strategic Priority Projects or *Highlight Major Projects*, as shown in the graph.

The *Highlight Major Project* with the largest funding allocation in 2022 is the Reform of the Social Protection System, which includes programs for assisting underdeveloped villages, health assistance, education assistance, and other social assistance programs.

Here are the details of the 13 main Strategic Priority Projects/*Highlight Major Projects* in the 2022 RKP document, ordered from the largest to the smallest funding allocation:

1. Reform of the Social Protection System (Perlinsos)

• K/L Expenditure Support: Rp152.56 trillion


• SOE Support: None


• Total Allocation: Rp152.56 trillion

2. Priority Tourism Destinations

• K/L, KPBU, and DAK Expenditure Support: Rp4.09 trillion


• SOE Support: Rp32.12 trillion


• Total Allocation: Rp36.22 trillion

3. Reform of the National Health System

• K/L Expenditure Support: Rp23.21 trillion


• SOE Support: Rp9.5 trillion


• Total Allocation: Rp32.71 trillion

4. Priority Industrial Estates and Smelters

• K/L, KPBU, and DAK Expenditure Support: Rp6.96 trillion


• SOE Support: Rp22.55 trillion


• Total Allocation: Rp29.51 trillion

5. Digital Transformation

• K/L, KPBU, and DAK Expenditure Support: Rp19.81 trillion


• SOE Support: Rp2.61 trillion


• Total Allocation: Rp22.42 trillion

6. Integrated Main Port Network

• K/L, KPBU, and DAK Expenditure Support: Rp3.22 trillion


• SOE Support: Rp12.42 trillion


• Total Allocation: Rp15.64 trillion

7. Integrated UMKM Management

• K/L, KPBU, and DAK Expenditure Support: Rp876.28 billion


• SOE Support: Rp8 trillion


• Total Allocation: Rp8.87 trillion

8. Acceleration of Renewable Energy Development and Energy Conservation

• K/L, KPBU, and DAK Expenditure Support: Rp143.94 billion


• SOE Support: Rp3.93 trillion


• Total Allocation: Rp4.07 trillion

9. Food Estate (Food Production Center Area)

• K/L, KPBU, and DAK Expenditure Support: Rp1 trillion


• SOE Support: Data not yet available


• Total Allocation: Rp1.52 trillion

10. Papua Customary Areas: Laa Pago Customary Area and Domberay Customary Area

• K/L, KPBU, and DAK Expenditure Support: Rp1.52 trillion


• SOE Support: None


• Total Allocation: Rp1.52 trillion

11. Development of the New Capital City (IKN)

• K/L, KPBU, and DAK Expenditure Support: Rp166.85 billion


• SOE Support: Rp798.6 billion


• Total Allocation: Rp965.45 billion

12. Vocational Education and Training for Industry 4.0

• K/L, KPBU, and DAK Expenditure Support: Rp421.4 billion


• SOE Support: None


• Total Allocation: Rp421.4 billion

13. Development of Waste Processing Facilities

• K/L, KPBU, and DAK Expenditure Support: Rp87.61 billion


• SOE Support: None


• Total Allocation: Rp87.61 billion

(See also: Survey: Government Considered More Focused on IKN than Community Economy)