Jakarta. President Prabowo Subianto said Thursday that he wanted Batang Industropolis in Central Java to be on par with China's Shenzhen, which has gained global recognition as a major investment destination.

Prabowo officially launched the Batang Industropolis, which already entered operation in 2022, as Indonesia's newest special economic zone (SEZ). The industrial estate, which boasts a total development area of 4,300 hectares, has attracted 27 investors so far with investments reaching Rp 17.95 trillion ($1.1 billion).

The government will grant incentives ranging from easier licensing processes to corporate income tax deductions for companies that set up production plants in these SEZs. As Indonesia tries to lure investors for greater economic growth, Prabowo wants to turn Batang into "Indonesia's Shenzhen". He gave Ex-President Joko "Jokowi" Widodo credit for laying the groundwork for Batang Industropolis' SEZ debut.

"I would like to thank my predecessor, Mr. Joko Widodo. His leadership and all the work that his ministers had done have given us a strong foundation to have a [special economic] zone that will be Indonesia's Shenzhen," Prabowo said in Batang.

It is no surprise that Prabowo gave a shoutout to Jokowi. Aside from industrialization, SEZs were at the centerpiece of Jokowi's economic policy as the businessman-turned-politician spared no effort to woo international investors. Jokowi established over 20 SEZs within one decade of becoming president. Batang became the first SEZ that Prabowo launched since assuming power last October. 

The industrial park's developer Kawasan Industri Terpadu Batang (KITB) has inked a memorandum of understanding (MoU) with the China State Construction Engineering Corporation (CSCEC). The deal specifically revolves around the so-called "Two Countries, Twin Parks" economic corridor cooperation, which became a talking point when Prabowo met his Chinese counterpart Xi Jinping in November. Both leaders agreed at the time to promote the "Two Countries, Twin Parks" to bolster the bilateral partnership.

According to senior minister Airlangga Hartarto, KITB's freshly signed MoU includes investment commitments from 20 Chinese companies for projects that span 500 hectares. Indonesia hopes the China deal can help the SEZ record at least Rp 60 trillion in investment within the next four or five years.

"Shenzhen will become a model for Batang. ... This project will be a memento of Indonesia-China's 75 years of diplomatic relations," Airlangga said.

Seven companies have already entered operations in Batang Industropolis. Seven projects are still under construction, while 13 investors are already in the pipeline. The SEZ has opened up job opportunities for 7,008 people so far.