German Misty Group helps build Indonesia's new capital, boosting investment confidence

On September 25, President Joko presided over the groundbreaking ceremony for Phase VIII in Xindu, which was attended by Zheng Nanyan, CEO of the renowned Chinese hotel group, De Hazel Group.

Mr. Joko, who presided over the groundbreaking ceremony, said that the project will be an important force in promoting the construction of Indonesia's new capital and boosting the confidence of other investors in moving into the capital, which has nine hotel brands and 1,600 properties in many countries around the world.

Since July 2023, De Hazy Group has formally set up its presence in the Indonesian market by investing in IHI (Indies Hospitality Investments), a hotel management platform in Indonesia, which consists of Artotel Group and Swiss-Belhotel International Indonesia, with over 200 hotels and 25,000 rooms, and has become one of the partners of the platform in Indonesia. It has over 200 hotels and 25,000 rooms in Indonesia, and became one of the partners of the platform. Since then, the group has set up a Jakarta office to develop its own hotel brand, Model J, which is a mid-range to high-end business hotel with a minimalist and contemporary style, and is expected to open this year with its first hotel in Soekarno-Hatta International Airport.

Indonesia's new capital is located in East Kalimantan Province, near the city of Balikpapan, covering an area of 2,560 square kilometers, of which 560 square kilometers of the capital's core area, expanding the area of 2,000 square kilometers, the total investment is expected to be equivalent to about 220 billion yuan, the Government of Indonesia is expected to finance 20%, the remaining 80% by the government and private enterprises to complete the cooperation. Up to now, 8 rounds of groundbreaking ceremonies have been carried out, has received investment of more than 56 trillion rupiah, about 60 projects on the ground, the first phase of construction has been completed 80%, is expected to start moving the capital in 2025 at the earliest. 2024 October will usher in a change of government in Indonesia, the new president Prabowo to the outside world to commit to the inheritance of the policy of President Joko, to continue to promote the construction of the new capital.

Indonesia's new capital is targeting telecom, transportation, real estate, water and waste treatment, science and technology, education, health, and industrial parks with a basket of incentives, including corporate income tax and VAT exemptions, and land rights of up to 160-190 years.