Indonesia Makassar Jaya Development Masterplan

INDONESIAN INTELLIGENT CITY TOWARDS WAWASAN NUSANTARA

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International Positioning of MJD •

• •

MJD lies at the heart of South East Asia at the southern tip of West Kalimantan within hours from Philippine, Brunei, Papua New Guinea, Malaysia & Singapore UK Strategically located London at theDocklands, cross roads of East-West trade lanes Mid-way between the rapidly growing Chinese, Indian & South Pacific Markets Shenzen, China

MJD

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Geographical Coverage
Singapore Area - 690 km2. Population - 4.1 M 6003

Density -


Dubai Area - 3,885 km2. Population – 1.2 M

Density - 309


Hong Kong Area - 1,095 km2. Population - 6.9 M

Density - 6301


Makassar Jaya Development Region Area – XXX km2 Population – 14 M Density - 6310 Estimated Population 2025: 30 mil

Infrastructures  One Stop Center  Corporate Governance 

Incentives 

Branding: Branding:  Special Administration Region  No Fly Zone  Indonesia As 2nd Home  WiWi-Fi Internet City  Free Port  Integrated Hub

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The Vision – You Can Never Bring People To The Place You Have Never Been Before

“A World Class Sustainable & Environmentally Friendly Metropolis” “ A Strong Sustainable Metropolis of International Standing” “The Place In The World To Work, Live & Do Global Business”

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MJD – The New ‘Nusantara Jaya’ Destination Resort

MJIC

• Thematic Industrial Park

• Theme Park

• GDV: USD 1.8bil

• GDV: TBD

EduCity

MSNAC

MJD • Education Hub • Makassar Admin. Admin. Centre

• GDV: RM 2bil

• GDV: USD 1.5bil

Medical Hub

Waterfront

• Medical centre of excellence • GDV: TBD

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• Integrated lifestyle destination

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• GDV: USD 1.5bil

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Opportunities for Arbitrage

GDP Per Capita

USD

Singapore

26,870

Malaysia

4,997

Kuala Lumpur

9,625

Ujung Padang

3,500

Industrial – Average Prices

USD per sq. ft.

Singapore - Jurong

150

MJD

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Residential – Average Prices

USD per sq. ft.

Singapore

220

MJD

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* Source: United Asia Research, 2005

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9 Strategic Economic Drivers

( Five Existing Economic “Pillars” will spearhead the thrust Support System

Creative Multimedia

Financial Services

Educational Services

Healthcare Services

Tourism

Logistics Services

Petro & Oleo Chemicals

Electrical & Electronic

The Main Pillars (Drivers)

Food & Agriculture Processing

MJD Economy “Strong, Diversified, Dynamic and Global”

The Vision

combined with Four “Eco -Drivers” )

Strong Supporting Industries ( Wood & Metal Products, Engineering, Commodities & Manufacturing Related Services (MRS)) Strong Supporting Institutions (Education, R&D, Government, Private and social, communication and coordination system) World-class Professionals and Technical Work Force

Basic Foundation

Excellent Physical, Infrastructures, including IT Excellent Working and Living Environment Stable Political, Social Environment

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What Will Be The Key Economic Drivers For The MJD? Contribution of the Various Service Sectors in MJD 6% 7%

Retail and Wholesale

Tourism 13%

The Services sector is estimated to contribute US$ 15 bilion in the MJD

42% Professional Services

Transport / Logistics

15%

Healthcare and Education

Financial Services

Sector which will be given special focus : • Tourism • Education • Healthcare • Logistics • Creative Industries • Financial Services

17%

The Super Services Economy - will be the key economic Azuddin Jud Haji Ismail 8/29/2007 driver in MJD

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Investment Opportunities: Financial Services Investment opportunities in the MJD relating to Financial Services include: • International Islamic Financial Hub •Conventional Financial Advisory & Services •Islamic Financial Advisory & Services

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Investment Opportunities: Creative Industries

Investment opportunities in the MJD in Multimedia & Creative Industries include: •World Class Internet City •Computer Animation Studios •Video and Audio Post Production Service •Sound Stages for video and film production •Training facilities for creative arts and sciences

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Investment Opportunities: Logistics

Investment opportunities in the IDR relating to Logistics include: •Free Trade Zone Port •Warehousing •3rd & 4th Party Logistics •Haulage •Air Cargo •Regional Distribution Centers •International Procurement Centers •Asia - Personal & Private Jets Service Center

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Investment Opportunities: Global Knowledge & Education Center Investment opportunities in the MJD relating to Education include: •Universities & •Institutions of Higher Education •International Schools •Research & Development Facilities •Human Capital Training & Capacity Building Centers

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Investment Opportunities: Health Tourism Investment opportunities in the IDR relating to Healthcare include: •Hospitals •Specialist Clinics •Alternative Medical Therapies •Nursing Homes •Medical Tourism •Medical Research & Development •Spas

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Investment Opportunities: Super Service Hospitality & Tourism Investment opportunities in the MJD relating to Tourism include: •Luxury Resorts •Hotels & Exhibitions •Theme Parks •Eco-Tourism •Sports-Tourism

•Regatta & World Power Boat Series Azuddin Jud Haji Ismail

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Investment Opportunities

Tourism

Education

Logistics

• • • • •

Luxury Resorts Hotels Theme Parks Eco-Tourism World Class Sporting Events

• Conventional Financial Advisory & Services • Islamic Financial Advisory Off-Shore Banking

Financial Services

• Universities • Institutions of Higher Education • International Schools • Research & Development Facilities • Training Centers

• Specialist Hospitals • Alternative Medical Therapies Healthcare • Nursing Homes • Medical R&D • Spas • Halal Vaccine Center of R&D

• • • • •

• CGI Animation • Video & Audio Post Production Creative • Sound Stages for Multimedia video/film production • Training facilities for creative arts and sciences

Warehousing 3rd & 4th Party Logistics Haulage Air Cargo & Jets Rental Regional Distribution Centers • International Procurement Centers

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Enhance coordination and cohesion of all government and nongovernment agencies involved in social development; Build Social Capital; Enhance ability of Individual and privately owned Indonesian companies especially SMEs to acquire landed properties and enhance their property portfolio by leveraging on capital gain; Adopt and implement a regional and physical development strategy that will result in the increase in the value of local land and also bring other benefits; Promote more mutual funds to spread benefits of the increase in property and rental values to Indonesian and to take up the allocated new property units not taken up by Indonesian; Enhance and upgrade education and training programme at all levels of skills and with the cluster associations identity critical skill categories for MJD development; and Enhance cluster linkages among major public and private sector corporations and research institutions with Indonesian companies, especially SMEs.

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Proposed Status • Makassar Jaya Development Authority (“MJDA”) is a Provincial Statutory Body responsible for realizing the vision and objectives of MJD, i.e. to be a Metropolis of International standing • MJDA has to be established by a Provincial Act – complying to UUD 1945 • It is a single authority or single reference point for promotions, approvals, implementations and regulations, aspires to carry best practices benchmarked against world standards • The only agency that reflects a joint-commitment from Jakarta and Sulawesi • A Comprehensive Development Plan (“CDP”) has to be developed to steer the overall development framework for MJD, which include strategies for the physical, economic and social development as well as environment

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MJDA - Key Functions • Establish national policies, direction and strategies for MJD

Planning

• Integrate the planning policies and strategies of the Central Government, Provincial State of Sulawesi and local authorities applicable or relevant to MJD • Identify and recommend new policies, laws and actions to enhance the competitiveness of MJD

• Promote and stimulate MJD as a trade, investment and logistics centre, duty free area and tourist destination

Promotion

• Promote private sector investment in the targeted sectors • Facilitate and undertake economic, physical and social development in MJD

Process

• Act a principal coordinating agent on behalf of relevant Government agencies in relation to receiving, processing and expediting the requisite approvals – “One-stop Centre” • Render administrative services and assistance to facilitate the requisite approvals in connection to matters within MJD

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Organization Structure (Co-Chairmen) President Of R.I

Governors of Sulawesi

Advisory Council Board Members of MJDA Approvals and Implementation Committee Chief Executive

Management of MJD

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Membership of the MJDA Board 1. H.E Susilo Bambang Yudhoyono President Of Republic of Indonesia Co-Chairman

2. H.E XXXXX Chief Governor Of Sulawesi Co-Chairman

3. Governor Of Southern Sulawesi Secretary 4. Governor of Northern Sulawesi Member

5. Governor Of Eastern Sulawesi Member

6. Governor Of Western Sulawesi Member

7. Secretary Of State Member

8. Secretary Of Finance Member

9. Secretary Of Communication Member

10. Secretary Of Natural Resources Member

11. Secretary Of Trade Member

12. Ms. Oudang Amarensi Chief Executive Officer of MJDA Executive Secretary

The Board composition underlines the commitment of the Indonesian Government in ensuring the success of the MJD

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Physical Development Strategies

























Ensure balanced development within the MJD by focusing development in certain corridors and nodes. Protect and conserve natural, historic and open space resources to improve the quality of life. Focus development in areas where existing and adequate infrastructure exists. Promote in-fill and redevelopment in existing communities, including Greenfield sites. Enhance accessibility by improving Regional and East-West – South Pacific linkages as well as provide alternative modes of public transportation. Create key economic initiatives that will become focal points for growth within the region. Plan and develop MJD as one integrated global node of Singapore, Malaysia, Papua New Guinea, Philippines and Indonesia. Manage Regional Growth Especially in the Periphery of MJD Plan for innovative and sustainable infrastructure and utilities. Encourage Planned Communities within a livable neighborhood. Azuddin Jud Haji Ismail

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How to Qualify for International Service Provider in MJD?

Must commence operation before 2010 and contribute to social development fund

Must only conduct business activities within the approved zones and/or outside Indonesia

Only for qualifying activities under the targeted 9-services based sectors

=

9-services Sectors:-

Details To Be Announced By Q1 2008

• • • • • • • • •

Education Healthcare Creative Multimedia & Computing Financial advisory & consulting Logistics – Shipping & Transportation Tourism Food Agriculture For Halal Hub Petroleum & Oleo Electrical & Electronics Azuddin Jud Haji Ismail

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MJIC – Makassar Jaya Investment Corp

Dept Of Finance

BPI

MBW

Makassar Jaya Development Authority (MJDA)

Contributions

Manages

MJIC

Planning Function OneOne-Stop Processing Centre Economic & Social Development

Investments in Strategic Initiatives

Social Projects Fund – SUKUK

Projects Level

PDV1

PDV 2

PT Sapta Karida

PDV 3

PDV 4

Lead Sponsor / Developer Develop, own and implement Business Plan Land owners, private Developers, operators, Local and foreign Investors

- Development of Waterfront City

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Makassar Jaya Investment Corporation

MJIC



A commercial entity with long term profit objectives



Supports strategic and catalyst initiatives through:
Equity partnerships
Mezzanine funding



An entity that can receive grants and participate in Indonesian & Sulawesi infrastructure projects



An investment holding company and NOT a property developer, but can be a land developer



Will own some land bank in MJD



Will make contributions to Social Project Funds for excess returns - In Sukuk

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Four Key Components of MJD 1

3

– Supports the existing development planning system – Serves as a guide for future economic, social, environmental and physical development – Contains policies and strategies for implementation – Plan for growth and sustainable development

2

– Supports catalytic and sustainable development – Identifies and creates demand – Fills the gap between public funding and investment of private companies – Undertakes large long term high value investments in partnership with others – Main contractor for Government infrastructure projects 4

– To promote, stimulate and facilitate all economic development – To perform certain planning functions within existing the framework of the Federal and State Governments – To function as a one stop centre in relation to approvals for trade, investments and development

– Includes, but is not limited to the following : - Waterfront Development - Theme park - International Mixed Commercial and Residential Development - Leisure and Tourism Development - Education and Healthcare Based Developments

Supply Side – Planning and Regulatory

Demand Side – Commercial Development Azuddin Jud Haji Ismail

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Makassar - Reality Decision Rights

Information & Knowledge

Consultative Group

Corporate & Social Structure

THE DECISION RIGHTS FOR THE RIGHT DECISIONS THE CREDIBILITY OF THE INFORMATION DISSEMINATION THE ORGANIZATION ORGANIC STRUCTURAL CAPITAL THE INTELLECTUAL CAPITAL / KNOWLEDGE CAPITAL Azuddin Jud Haji Ismail 8/29/2007 page 26 THE ULTIMATE FINANCIAL CAPITAL

Strategic Resources Eco-System

Please contact:Main Office

Satellite Office

PT Sapta Karida

Azuddin Jud Hj Ismail +6013 -6153803

MJD

[email protected]

PETROLEUM, TIN, NATURAL GAS, NICKEL, TIMBER, BAUXITE, COPPER, FERTILE SOILS, COAL, GOLD, SILVER , AGRO BASED PRODUCTS & TOURISM

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Strategic Resources Eco-System – 30 provinces (propinsi-propinsi, singular propinsi), 2 special regions* (daerah-daerah istimewa, singular - daerah istimewa), and 1 Please contact:special capital city district** (daerah khusus ibukota); Aceh*, Bali, Banten, Bengkulu, Gorontalo, Irian Jaya Barat, Jakarta Raya**, Main Office Jambi, Jawa Barat, Jawa Tengah, Jawa Timur, Kalimantan Barat, Kalimantan Selatan, Kalimantan Tengah, Kalimantan Timur, Kepulauan Bangka Belitung, Kepulauan Riau, PT Sapta Karida Lampung, Maluku, Maluku Utara, Nusa Tenggara Barat, Nusa Tenggara Timur, Papua, Riau, Sulawesi Barat, Sulawesi Selatan, Sulawesi Tengah, Sulawesi Tenggara, Sulawesi Utara, Sumatera Barat, Sumatera Selatan, Sumatera Utara, Yogyakarta*; note - with the implementation of decentralization on 1 January 2001, the 357 districts or regencies became the key administrative units responsible for providing most government services

Satellite Office

Azuddin Jud Hj Ismail +6013 -6153803

MJD

[email protected]

MJDA – SATELLITE SPECIAL CAPITAL CITY DISTRICT

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Economic Business Intelligent

Economy

• Vast polyglot nation, has restored financial stability and pursued a fiscal policies since the Asian financial crisis, many economic development problems remain, including high unemployment, a fragile banking sector, endemic corporate governance, inadequate infrastructure, a poor investment climate, and unequal resource distribution among regions. Indonesia became a net oil importer in 2005 due to declining production and lack of new exploration investment. • Indonesia must reaping the benefits of high world oil prices, and recover the cost of subsidizing domestic fuel prices as it has placed an increasing strain on the budget. • Keys to future growth is strategic domestic and external economic reform, building up the confidence of international and domestic investors, and strong global economic growth. • In late December 2004, a major tsunami took nearly 127,000 lives, left more than 93,000 missing and nearly 441,000 displaced, and destroyed $4.5 to $5.0 billion worth of property. • Strategic population – the most populated Islamic Nation and key influence in OIC and Halal Products

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Economic Business Intelligent • • • •

GDP Purchasing Power Parity GDP Real Growth Rate GDP Per Capita – Purchasing Power GDP Composition By Sector

- USD 827.4 Billion - 4.9 % - USD 3,500.00 - Agro 14.6 % - Industry 45.0 % - Services 40.4 %

Strength Labor Force: 115.4 Million Workers • Agriculture 45 % • Services 20 % • Industry 35 % Population Below Poverty Line – 30% Revenue : USD 52.13 B Expenditure : USD 55.88 B

Profit

Agriculture - products: Rice, Cassava (tapioca), Peanuts, Rubber, Cocoa, Coffee, Palm Oil, Copra, Poultry, Beef, Chicken & Eggs Industries: Petroleum & Natural Gas , Textiles , Apparel , Footwear , Mining , Cement , Chemical Fertilizers, Plywood, Rubber, Food & Tourism Industrial production growth rate: 10.5%

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Business Intelligent

Assets

• • • • • • • • • • • •

Oil Production 990,000 Barrel Per Day Export 518,100 Barrel Per Day - Import 370,500 Barrel Per Day Oil Reserved – 5 Billion Barrel Natural Gas Production 77.6 Billion cu m – Export 55.3 Billion cu m Exports - commodities: Oil & Gas, Electrical Appliances, Plywood, Textiles, & Rubber Imports - commodities: Machinery Equipment, Chemicals, Fuels, Foodstuffs & Technology Reserved Foreign Exchange & Gold : USD 35.82 Billion Debt External : USD 141.5 Billion Economic Aid Recipient – IMF : USD 43.0 Billion Grant / Aid Requested By CG of Indo : USD 6.8 Billion

Export Partners

• Japan • Singapore • China

Import Partners

• • • •

Singapore Japan China South Korea

22.3% 08.4% 06.4%

USA South Korea Malaysia

12.3% 06.8% 04.2%

13.1% 13.1% 08.8% 04.2%

Thailand Australia Saudi Arabia Malaysia

6.0% 4.8% 4.1% 3.3%

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Transportation

Indonesia Total: 6,458 km Narrow gauge: 5,961 km 1.067-m gauge (125 km electrified); 497 km 0.750-m gauge Total: 342,700 km - Paved: 158,670 km - Unpaved: 184,030 km

Railways:

Highways:

Please contact:-

21,579 km Note: Sumatra 5,471 km, Java and Madura 820 km, Kalimantan 10,460 km, Sulawesi (Celebes) 241 km, Irian Jaya 4,587 kmOffice (2004) Main Office Satellite Condensate 850 km; Condensate/gas 128 km; gas 8,506 km; oil 7,472 km; Pipelines: oil/gas/water 66 km; refined products 1,329 km (2004) Banjarmasin, Belawan, Ciwandan, Krueg Geukueh, Palembang, Panjang, Sungai Ports and harbors: PT Sapta Karida Azuddin Jud Hj Ismail Pakning, Tanjung Perak, Tanjung Priok Total: 728 ships (1,000 GRT or over) +6013 3,192,847-6153803 GRT/4,319,739 DWT Merchant marine: by type: Bulk Carrier 35, Cargo 409, Chemical Tanker 19, Container 36, Liquefied Gas 7, Livestock Carrier 1, Passenger 41, Passenger With Cargo 36, Petroleum Tanker 125, Refrigerated Cargo 2, Roll On/Roll Off 13, Specialized Tanker 2, Vehicle Carrier 2

Waterways:

Foreign-Owned: 19 (France 1, Japan 3, Philippines 1, Singapore 11, Swiss 1 & UK 2) Registered in other countries: 113 (2005) 667 With 23 Airlines Airports: Airports - with paved 154 Airports [email protected]

runways: Airports - with unpaved runways: Heliports:

513 Airports 22 Heliports Azuddin Jud Haji Ismail

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Special Administration Centre Regulatory Regional Transportation Hub – Sea & Air Corporate Governance Super Logistic Services

World Islamic Financial Hub

Nusantara Resorts City

MJD

Halal Medical City

OIC Research Edu-City

International Knowledge Bank

World Halal Hub Makassar Cyber Ports

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International Village Halal Hyper Market International School OIC Global Trading Center

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PT Sapta Karida

International Knowledge Bank

Property Development

Transportation Infra Resorts (MICE)

Human Capital

Trading

Airlines, Jets & Helicopters Retail Services Middle Eastern Media & Muhamadiah Business Agriculture Communication Schools World Makassar Liberty Taxi & Cyber Ports Shipping Freight Forwarder & Marina

Bank

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For Participating & Enquiries

Please contact:Main Office

Satellite Office

PT Sapta Karida Jakarta

Azuddin Jud Hj Ismail Kuala Lumpur

Email

:

+6013 -6153803

[email protected] [email protected]

[email protected]

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