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Indonesia plans to move its capital from Jakarta. Here's why

2019-05-03 08:26:34       source:CNBC

May 2, 2019

Indonesia, the world’s fourth most populous country, is planning to move its capital away from Jakarta, which is suffering from severe congestion and is rapidly sinking.

The country’s president, Joko Widodo, has decided to relocate the capital to outside of the crowded main island of Java, saying that the island’s infrastructure has been strained to the point that a move is necessary.

“In Java, the population is 57 per cent of the total for Indonesia, or more than 140m people, to the point that the ability to support this, whether in terms of the environment, water or traffic in the future, will no longer be possible so I decided to move outside Java,” he told local media, according to a Financial Times report.

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