President Joko "Jokowi" Widodo officially broke ground on Wednesday for the first foreign investment project in Indonesia's new capital, Nusantara. The project, backed by the Chinese property firm Delonix Group, represents a pivotal moment for the government’s US$32 billion initiative to relocate the nation's capital from Jakarta. 

Delonix Group has committed an investment of Rp 500 billion (approximately $33 million) to develop a complex comprising hotels and office spaces.  

Jokowi described the Delonix project as a "pioneering foreign company investing in the new capital," adding that it would help bolster confidence among other potential investors.  

The groundbreaking ceremony, which took place in Nusantara, was the latest step in Jokowi's plan to alleviate the strain on Jakarta, a city plagued by overpopulation, traffic congestion, and environmental issues such as sinking land. The new capital is being developed in East Kalimantan, approximately 1,200 kilometers away from Jakarta, in a forested region of the island of Borneo. 

Jokowi has said that construction in the new capital may take decades, and he intends to spend the final weeks of his presidency in Nusantara. 

The Indonesian government expects that only 20% of the funding for the capital will come from public sources, with the remaining 80% anticipated from private investments. While foreign investment in Nusantara has been slow to materialize, authorities hope the Delonix project will attract further international interest.  

Additionally, several other foreign companies have expressed interest in investing in Nusantara. The Minister of Investment, Rosan Roeslani, confirmed that five firms, including Singapore’s Sembcorp Utilities Pte Ltd and Raffles Education Limited, are in talks to invest a combined $165 million. The projects under consideration include clean energy initiatives, education facilities, and commercial buildings. 

In earlier stages of development, Nusantara secured a $1.3 billion investment from a consortium of Indonesian companies, and President Jokowi continues to promote the region as a hub for economic growth, driven by both foreign and domestic investments.