Jakarta to remain economic hub as Indonesia prepares to move capital city

House Speaker Puan Maharani attends a joint news briefing after Indonesia's President Joko Widodo delivered the annual State of the Nation Address ahead of Indonesia's Independence Day, at the parliament building in Jakarta, Indonesia, August 16, 2022. REUTERS/Ajeng Dinar Ulfiana/ File Photo

JAKARTA (Reuters) - Indonesia's parliament on Thursday designated special status for Jakarta, keeping the metropolis as the country's economic epicentre, amid plans to move the capital city to Borneo island.

Indonesia plans to move its capital city away from congested and sinking Jakarta, to Nusantara, a $32-billion city under construction in the jungles of East Kalimantan on Borneo.