The change in status of Jakarta, which will no longer be the capital city, has become a hot topic in the business and economic world. The determination of this status is still awaiting the issuance of a Presidential Decree (Kepres) which will mark the revocation of DKI status on Jakarta.

At the same time, the DPR, DPD, and the government began discussing the formation of the Jakarta Special Region Bill (DKJ). Baleg DPR targets the bill to be completed and passed as a law on 4 April 2024 in a DPR plenary meeting.

Vice Chairman of Kadin Indonesia for Regional Autonomy Development, Sarman Simanjorang, said that the loss of Jakarta's special status as DKI had no direct or indirect impact. However, he continued, the change in Jakarta's status will make the city the centre of the national and global economy.

"With Jakarta becoming an economic centre, it will make it productive, more comfortable and safe. Because it will be more free to determine spatial planning. So far, it always has to depend on the central government because it is the capital city (of Indonesia). With the status of no longer the capital city, Jakarta will be more free to set its business clusters," Sarman said at CNBC Indonesia's Profit event, Monday (18/3/2024).

According to him, when Jakarta is designated as a special region, the specifics must be known. After all, Jakarta has contributed significantly to the national economy.

"Investment and contribution to GDP, as well as 70% of the money circulation is in Jakarta. So it is necessary to strengthen its specificity where. Later in the law there needs to be confirmation," he added.

According to Sarman, despite the change in status, Jakarta will still be attractive to investors. By no longer being the capital city, it is likely to attract startup investment, services, maybe even in terms of transportation, to infrastructure.

"So there will be more opportunities later, Jakarta as the centre of the national and global economy. International investors will also increasingly focus on investment opportunities in Jakarta," concluded Sarman.