East Kalimantan, future center of governance
East Kalimantan, situated on the eastern coast of Borneo, is a province known for its diverse natural and cultural heritage. With a total area of 129,000 square kilometers, the province is home to a population of 4.91 million people as of 2023, with the majority identifying as Muslims.
Influenced by centuries of migration, trade, and indigenous customs, East Kalimantan is a cultural melting pot inhabited by numerous ethnic groups, each with its own language, customs, and rituals. Among these ethnic groups are the Daya, Kutai, and Bugis people. Notably, the Dayak people offer insights into Borneo’s ancient past through their traditional longhouses, wood carvings, and spiritual beliefs. Conversely, the Kutai people provide insights into the region's marine heritage, given their historical significance as one of Indonesia's oldest kingdoms. In addition, the province's cuisine, architecture, and cultural practices reflect centuries of cross-cultural interaction, influenced notably by Bugis traders and settlers.
East Kalimantan’s capital, Samarinda, is home to notable locations such as the Mulawarman Museum, which displays relics spanning the region’s prehistoric, colonial, and modern eras. Additionally, Tenggarong's Kutai Sultanate Palace, with its ancient relics and traditional architecture, provides a glimpse into the kingdom's royal past.
Apart from its cultural heritage, East Kalimantan is well-known for its natural diversity, encompassing vast rainforests, rivers, wetlands, and diverse fauna. The province is home to one of Indonesia's largest protected areas, the Kutai National Park, which harbors a variety of plant and animal species, including clouded leopards, sun bears, and orangutans. Moreover, East Kalimantan hosts the Mahakaman River, the province’s longest river, which serves as a vital resource for irrigation, transportation, and fishing, sustaining surrounding villages.
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Economic development
In terms of its Gross Regional Domestic Product (GRDP), East Kalimantan has been dependent on the mining sector, accounting for Rp 227 trillion (43.19 percent) in 2023 and Rp 235 trillion (53.18 percent) in 2022 of that respective year’s GRDP, followed by the processing industry sector with Rp 104 trillion (17.73 percent) in 2023 and Rp 99 trillion (15.04 percent) in 2022.
This positive economic growth is closely tied to the success of the provincial authority in attracting investments into the province, which amounted to Rp 71.89 trillion in 2023, surpassing the initial target of Rp 64.5 trillion. Out of this total figure, foreign investment contributed up to Rp 19.72 trillion (27.43 percent), while domestic investment reached Rp 52.17 trillion (72.57 percent).
Subsequently, the influx of investment in 2023 propelled the province into the top four provinces for domestic investment, following Jakarta, West Java, and East Java, while it ranked tenth in terms of foreign investment destinations.
Notably, East Kalimantan is home to the Nusantara Capital City (IKN), poised to become Indonesia’s new capital city. Currently undergoing development, the IKN has initiated various construction projects, thereby contributing to the province’s construction sector. One such project includes state-owned energy company PT Pertamina’s Refinery Development Master Plan (RDMP). Additionally, the IKN’s development has contributed to the electricity and gas procurement sector, as well as the monetary and insurance services sector in East Kalimantan.
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