The Ministry of National Development Planning/Bappenas has prepared a comprehensive economic strategy for the IKN and East Kalimantan. The IKN is expected to be a driving force for the Indonesian economy through the creation of new job opportunities in the infrastructure sector which could absorb up to 500,000 potential construction workers by 2024. This figure continues to be studied according to the latest developments.

In addition, the government will diversify and develop new economic sectors, as well as implement the principles of sustainable, green and high value-added industrial development. The IKN will encourage the acceleration of national economic growth and two supporting clusters, including the clean technology industry, an integrated pharmaceutical industry, a sustainable agriculture industry, ecotourism, chemical products and byproducts industries, and low-carbon energy industry. With this strategy, the IKN will develop the regional economy by 4 to 5 times and could create 4.3 million to 4.8 million jobs in East Kalimantan by 2045. The IKN's development concept will be implemented through the cooperation of the Three Cities Ecosystem, namely the IKN, Balikpapan and Samarinda.

• High accessibility, close to two big cities, namely Balikpapan and Samarinda
• Several main infrastructures are already in place, namely the Balikpapan-Samarinda and Trans-Kalimantan toll roads
• Easy access to the airports in Balikpapan and Samarinda, as well as the Kariangau Container Terminal Port and the Balikpapan and Semayang Ports
• Heterogenous and open population structure
• Extensive amounts of land which hold the status of Protected Forests and Plantations
• Defense measures supported by the triple dimensions of land, sea and air
• Raw groundwater from three existing reservoirs, two planned reservoirs, four rivers and four watersheds
• Medium land capability for constructing buildings
• Located on Sea Lane II (Makassar Strait)

• Superhub as Universal Inspiration
• A superhub that will become a role model in becoming a green, sustainable city with a high standard of living in the midst of the challenges of climate change by utilizing the latest technology
• The superhub and the world
• A superhub that will help position Indonesia in a more strategic position in world trade routes, investment flows and technological innovation
• The superhub and Indonesia
• A superhub that transforms the Indonesian economy to become more inclusive through the Three Cities strategy by becoming an economic driver for East Kalimantan and a trigger to strengthen domestic value chains throughout Eastern Indonesia and the entire country in general

The IKN Area will be divided into several zones. Its total area size is 256,142.72 ha.

• The areas will become a catalyst for the East Kalimantan region by taking advantage of Balikpapan and Samarinda's strengths as cities
• 75% of the IKN Area is planned to become green open spaces, of which 65% is designated as protected areas and 10% is implemented for food production
• The IKN will be developed completely using clean energy

Meanwhile the K-IKN Area has a total area size of 56,180.87 ha.

• It consists of various mixed-use zones and neighborhoods which support the concept of "10 Minute Walks" and social connectivity
• Designed in harmony with nature, with a minimum of 50% green spaces
• Up to 80% of all trips required in the area will be easily serviceable by public transport, supporting active mobility
• 100% green space changes for every building in the area

Based on initial estimates, the financing schemes used gives a high priority to private sector companies through a Government-to-Business Cooperation Scheme (KPBU) of up to Rp 252.5 trillion (54.2%) and a joint private sector and state-owned business (BUMN/D) direct scheme of Rp 123.2 trillion (26.4%) of the total financing needs for the IKN's construction. The rest of the funding will be provided from the State Budget. The Covid-19 pandemic has affected the mobility of the private sector compared to normal economic conditions. Under these conditions, the government and Bank Indonesia issued prudent fiscal and monetary policies so as to provide sufficient financial market liquidity to stimulate economic activity. This sufficient liquidity provides an opportunity for all financing actors, both public and private sectors, to participate in the development of the IKN.

• Implementation of an integrated multi-method transportation system
• Coordination to ensure the integration of road infrastructure development with public transport
• Road infrastructure development including road construction to support logistics and IKN access roads, as well as the preparation of readiness criteria for IKN main roads, district roads (within the Governmental Zone) and toll roads
• Development of the APT Pranoto Samarinda Airport and Sepinggan Airport in Balikpapan, along with the construction of a VVIP airport
• The development of the Samarinda Seberang Type A Terminal
• Utilization of PT ITCI wharf to support logistics and development of the Penajam Paser Port

The relocation of the capital city would require several regulatory frameworks, including the following:

1. The National Capital City Law
2. Based on the National Capital City Law, the implementation of regulations at the level of Presidential Regulations are needed to regulate several factors including:
   • Authority over the IKN
   • National Capital City Masterplan
   • Land management in the IKN National Strategic Areas (KSN IKN)
   • KSN IKN Area Spatial Plan
   • Territorial Divisions
   • National Capital Defense and Security Master Plan
   • Limitation of Transfer of Land Rights in the KSN IKN area
   • Transfer of State Capital City status from the province of DKI Jakarta
   • Organizational Structure, Duties and Special Government Authorities in the IKN
   • Delegation of Licensing Authority from Ministries and Agencies
   • Funding for the Development and Implementation of the IKN
   • Management and Utilization of State Properties in the IKN area
3. Implementing regulations at institutional regulatory level, namely the regulation of the Head of the IKN Authority regarding the Detailed Spatial Plans (RDTR) in the KSN IKN area
4. The number of regulation implementations that will be formed will be determined later in accordance with the requirements of the regulatory norms.

• Smart Security is an instrument capable of managing and overcoming various forms of residential security officer (Kamtibnas) problems with the support of information technology, infrastructure and human resources, in a humane manner
• The implementation of Smart Security in the IKN will focus on police services and crime prevention (crime reduction). Police services will be supported by the system's e-policing, modern traffic security, emergency & response, and integrated police service mechanisms. Meanwhile, crime prevention measures will use the Modern City Security System (Sispam) and community & partner engagement measures.
• Smart Security in the IKN will be one of the pillars of the Smart City concept and can be optimized in overcoming complexities, increase efficiency, reducing costs and improving the quality of life for residents in the field of the Kamtibnas.

• The relocation of public servants will be carried out within a timeframe of five years, starting in 2023 to 2027, with the proportion of ±20% every year or around ±25.500 people per year so that when the President of the Republic of Indonesia and the Vice President of the Republic of Indonesia move to the IKN in 2024, as many as 20% of public servants will already be operating in the new city
• The transferring of public servants to the IKN will be carried out in stages by determining which ministries or institutions will be relocated to the IKN first.

The location of the new National Capital City will be built in the North Penajam Paser and Kutai Kartanegara Regencies in East Kalimantan. Based on the 2020 Population Census, the population of East Kalimantan is 3.77 million and is mainly dominated by immigrants (around 83%), with a majority being Javanese, Bugis and Banjarese. Meanwhile, the number of indigenous people is only at around 17% including ethnic Kutai, Paser and Dayak peoples. The community structure in East Kalimantan province is quite heterogenous and diverse due to the mixing and social integration that occurs between the indigenous and immigrant populations.

The immigrant population in East Kalimantan are mostly residents who have long resided and settled in East Kalimantan, with many of them born and raised in the region. The high number of immigrants in East Kalimantan is mainly due to the transmigration program. Cultural acculturation has taken place through various cultural processes, social interactions, and population migration which have formed a strong ethnic diversity and cultural pluralism. This process builds a "local genius" so that the people of Kalimantan are able to respond and accept outside cultures easier and live side by side with other tribes.

The IKN is designed to reflect the diversity of Indonesia as one of the goals of the IKN is to strengthen national identity and national unity. The city will be built based on cultural values that grow and develop in the archipelago by being mindful towards the environment, history, and culture of the people of Kalimantan.

The Forest City concept requires at least 65% forest cover, which can be achieved by forest and land rehabilitation efforts in the 58,570 ha of IKN area. The area is currently in open land state, as it is an ex-mining area with shrubs and concession areas that will be harvested. An integrated landscape design is needed to ensure the achievement of the Forest City concept, either through planting or protecting forest cover, which is currently in an acceptable state.

The IKN has the characteristics of a very sensitive area and has high ecological limitations on development, therefore the development process must be carried out carefully. To ensure that IKN development applies the concept of a sustainable city and considers the aspects of the carrying capacity of its environment and natural resources, a Strategic Environmental Study (KLHS) of the IKN Masterplan has been carried out in 2020. The preparation of an IKN KLHS Masterplan will be carried out in an integrated manner with the preparation of the IKN Masterplan itself.

The Environment and Disaster Mitigation Strategy Coordinating Team for the Preparation of the IKN Transfer Plan has prepared a strategic environmental study (KLHS) for use in the IKN Masterplan. All matters relating to the environmental aspects of IKN preparation, development and the relocation process have been reviewed in the study, including the identification of environmental issues, analyses, as well as alternatives and recommendations for mitigating the issues that have been identified.

The development of the IKN will always abide by the findings outlined in the KLHS, considering that it will be built under the vision of being a Global City for All with the aim of becoming the most sustainable city in the world. In addition, the IKN Masterplan also outlines that the construction process will help restore 75% of natural habitats, including revitalizing the Bukit Soeharto forest, which has begun to deteriorate. The draft IKN Law also emphasizes that the development of the city will be based around the surrounding environment's carrying capacity to withstand such a project.