“The Lord will open the heavens, the storehouse of his bounty, to send rain on your land in season and to bless all the work of your hands. You will lend to many nations but will borrow from none.”
Deuteronomy 28:12
“In Samarinda, I leisurely entered a charming local café to kickstart my morning. The vendor skillfully positioned slices of bread between weathered wire mesh, grilling them to perfection over a crackling charcoal fire. Next, he generously slathered the golden kaya jam onto the toast, topping it off with a generous slab of chilled butter. The culinary masterpiece was completed with the addition of two perfectly half-boiled eggs and a robust local coffee, adorned with a swirl of evaporated and sweetened condensed milk. It was a blissful morning.”
Henry Tai – Reminiscent of Kalimantan travel diary 1990.
Samarinda City
1.0 Physical
Geography: Samarinda serves as the capital city of East Kalimantan, situated on Borneo Island. The city spans an area of 718 km², making it slightly larger than Brussels.
Population: As of 2020, Samarinda stands as the most populous city in Borneo, boasting a population of 840,000. Projections indicate a significant growth to 3.3 million residents by the year 2050.
Distance: Positioned on the east coast of Borneo Island, Samarinda faces the Celebes Sea and is nestled along the Mahakam River. Additionally, it shares a border with Sarawak.
Distance from Samarinda to other cities in Borneo:
| City | Distance (km) |
| BSB Brunei Captal | 648 |
| Balikpapan | 90 |
| Banjarmasin | 418 |
| Kota Kinabalu | 731 |
| Kuching | 787 |
| Pontianak | 866 |
| Tarakan | 428 |
Tropical:
Positioned at 0.5° south of the equator, Samarinda enjoys a tropical rainforest climate with an annual rainfall of 2,102 mm and an average temperature of 26.8°C. The city experiences abundant rain and sunshine.
New Capital:
Indonesia’s upcoming capital will be located between Samarinda and Balikpapan. Construction is set to commence in 2022, and the relocation process is scheduled for 2024.
Attributes:
Samarinda holds several famous attributes and old charms:
- Near the mouth of the Mahakam River, East Kalimantan’s largest river.
- A vibrant trading hub for over 300 years.
- The Mahakam delta provides a mangrove sanctuary for aquaculture farms.
The lower Mahakam area is home to a large hydrocarbon reserve:
- 3 billion barrels of oil.
- 30 Tcf of gas.
The city maintains a delightful small-town charm while preserving traditional ways. It is also a home for expatriates from the US, France, and Australia, particularly in the mining and oil industries.
Unique Attributes:
- Samarinda boasts a traditional small-town charm that retains its unique tranquillity. It serves as a tourist gateway to East Kalimantan.
- It is characterised by sparsely populated vast lands with abundant sunshine and rainfall.
2.0 History
- Founded in 1668.
- Bugis settlers arrived from Sulawesi Island in the late 17th century, transforming Samarinda into a crucial trading hub due to its extensive river network.
- In 1846, the Dutch established a Resident Assistant in Samarinda.
- The discovery of the Sanga Sanga Oilfield occurred in 1898.
- By 1939, the Sanga Sanga Oilfields were producing about 1 million tons of oil annually.
- East Kalimantan was formally established in 1956.
Unique Attributes:
- Samarinda holds a historical connection as a former Dutch East Indies Colony.
- Abundance of oil and gas reserves, notably exemplified by the discovery and production in the Sanga Sanga Oilfields.
3.0 Economy
- East Kalimantan, the third-largest province in Indonesia by area, boasts the second-highest per capita GDP in the country.
- Samarinda, as the capital city, plays a pivotal role in the province’s economic landscape.
- Abundance of natural resources, shaping the economic foundation of the region.
- Main economic activities in Samarinda include timber logging, coal and gold mining, oil extraction, natural gas, agriculture, aquaculture, and tourism.
Major Economic Activities:
- Tourism:
- The majestic Mahakam River serves as a gateway to diverse rainforests and unique Borneo flora and fauna.
- Adventure opportunities abound, including canoeing, trekking, wildlife spotting, and immersion in local culture.
- Visitors can experience the traditional lifestyle by staying in a Dayak longhouse and joining the tribe for jungle hunting using bows, arrows, and blowpipes.
- Industry:
- Coal mining dominates around 65% or 47 thousand hectares of the city, with a coal loading port in Tanjung Bara.
- Other significant industries include oil and gas, aquaculture, and logging extraction activities.
- Airport:
- Aji Pangeran Tumenggung Pranoto International Airport, operated by UPBU Kelas II APT Pranoto under the Ministry of Transportation.
- Total capacity of 1.5 million passengers per year.
Unique Attributes:
- Abundant opportunities for the development of unexplored vast natural resources and food production in the region.
4.0 Language
- The most prevalent language in Samarinda is Bahasa Indonesia, which shares similarities with Malay.
- Other dialects spoken include Banjarese, Javanese, and Buginese.
Unique Feature:
- The widespread use of Bahasa Indonesia, akin to Malay, serves as a unifying factor for effective communication in various domains such as government, business, and the local community.
5.0 Investment Opportunities
5.1 New Migration:
- Projected population growth from 0.8 million to 3.3 million in 30 years.
- Foreign investment to generate jobs, attracting new immigrants.
- Relocation of Indonesia’s new capital to Samarinda to boost economic activities.
- Low population density in East Kalimantan compared to Jakarta.
Expansion of Samarinda City Area:
- Expansion radius of 100 km, including the northern city of Botang and the southern city of Balikpapan.
5.2 Coal Mining:
- Samarinda City possesses coal resources of 2.17 billion tonnes.
- Coal reserves around 673.6 million tonnes.
- Emphasis on adopting high-quality and environmentally sustainable coal mining practices.
5.3 Tourism:
- Tropical forest ecosystems as a major theme for Samarinda’s tourism industry.
- Need for a comprehensive tourism strategy focusing on natural environment and cultural diversity.
- New investments in tourist destinations, infrastructure, and target destinations.
- Tourism target for Kalimantan: 20 million visitors per year by 2030.
5.4 Infrastructure:
Highway:
- Major interstate highways connecting Samarinda, Balikpapan, new capital, Pontianak, Tarakan, Sarawak, Sabah, and Brunei.
Rail:
- Mass Transit Rail (MTR) between Samarinda, Balikpapan, and Botang.
Water:
- New water treatment plants for cities with a total population of 12 million.
5.5 Property Development:
Residential:
- Planning for an additional 2.5 million dwellings.
Commercial:
- Diverse-themed shopping malls to accommodate an influx of 20 million tourists.
Healthcare:
- Development of retirement villages, serviced apartments for the aged, and nursing homes.
5.6 Special Economic Zones (SEZ):
Agriculture:
- Emphasis on agriculture and related downstream industries focusing on food crops.
- Major demand for local and regional needs such as rice, cattle, and poultry farms.
Aquaculture:
- Development of aquaculture farms and downstream industries, including prawns and fish.
Cold Chain:
- Establishing cold chain facilities for aquaculture, tropical fruits, and fresh vegetables.
- Targeting export markets in Singapore, Hong Kong, and North Asia.
Oil and Gas:
- Exploration, extraction, production, and downstream industries in oil and gas.
- Attracting international investors to position Borneo as the hub for the oil and gas industries.
5.7 Private Equity Firms
China Venture Capital and Private Equity Association (CVCA) – List of members 2022
- Advantage Partners
- Apax Partners
- Ascendent Capital Partners
- Asia Alternatives
- Asia Investment Capital
- BAI Capital
- Bain Capital
- Baring Private Equity Asia
- Beijing Sinowel Asset Management Co.
- Cambridge Associates
- Capital Today Group
- Carlyle Asia Partners
- CDB Capital FOF Management
- CDH Investments
- CDIB Capital Group
- CDPQ
- Centurium Capital
- Chengwei Capital
- China Capital Group
- China Creation Ventures Capital
- China Eurasian Economic Cooperation Fund
- CITIC Capital
- CITIC Private Equity Funds
- CPIC
- CPPIB
- CreditEase FOF
- DCP Capital
- DT Capital Partners
- FountainVest Partners
- GGV
- GIC
- Goldman Sachs (Asia)
- Gopher Asset
- GSR Ventures
- HarbourVest
- Henan CICC Huirong Fund Management
- Hillhouse Capital Group
- Hony Capital
- IDG Capital
- InnoVen Capital
- J.P Morgan
- Jade Capital
- Jafco Asia
- Jiuzhou Venture
- Joy Capital Capital
- KKR
- Legend Capital
- NCI
- NewQuest Capital Partners
- Oriza FOFs
- PAGAC
- Ping An Overseas Holdings
- Prestige Financial Holdings
- Primavera Capital Group
- Qiming Venture Partners
- Redpoint China Ventures
- SDIC Unity Capital Co., Ltd
- Sequoia Capital
- Sinovation Ventures
- STAMINA Capital
- Starr Insurance Companies
- StepStone Global
- SVB
- Taiping Asset Management Co., Ltd
- Temasek
- The Blackstone Group
- TPG China
- Warburg Pincus
Private equity firms in Japan – Regular members
- Advantage Partners
- Ant Capital Partners
- Apollo Management Japan
- Aspirant Group
- AZ-Star
- Bain Capital Asia
- Baring Private Equity Asia
- Basic Capital Management
- Brookfield Japan K.K.
- Bluepass Capital
- CAS Capital
- CLSA Capital Partners
- Cool Japan Fund
- CVC Asia Pacific (Japan) Kabushiki Kaisha
- D Capital
- Endeavour United
- EQT Partners Japan K.K.
- Fortress Investment Group
- Fukuoka Capital Partners
- GLOBIS CAPITAL PARTNERS
- iSigma Capital Corporation
- Iwakaze Capital
- Japan Industrial Solutions
- J-STAR
- Karita & Company
- KKR Japan
- Catterton Japan K.K.
- Lone Star Japan Acquisitions
- MBK Partners K.K.
- MCP Mezzanine
- Mizuho Capital
- Mercuria Investment
- New Horizon Capital
- Nippon Mirai Capital
- Nippon Sangyo Suishin Kiko
- Nomura Capital Partners
- PAG Japan
- Permira Advisers KK
- Ping An Japan Investment
- Polaris Capital Group
- Rising Japan Equity
- T Capital Partners
- The Carlyle Group
- The Longreach Group
- Trust Capital
- Trustar Capital Partners Japan
- Try Hard Investments
- Unison Capital
- Yukon Capital Partners
Private equity groups, investors and consultants in Indonesia (Additional stakeholders are listed in other chapters)
- ABM Investama
- Abu Dhabi Investment Authority ADIA
- AC Ventures
- ADIA
- Adivira Capital
- Affinity Equity Partners
- Alpha JWC Ventures
- Alpha Wave Global
- Ancora Capital
- Anise Partners
- APG Management
- Ares Management Corporation
- Aruna
- Asia Partners
- Asiantrust Capital Partners
- B Capital Group
- Bain Capital
- Baring Private Equity Asia
- BlackRock
- Blackstone
- Capsquare Asia Partners
- Carlyle Asia Partners
- CDPQ
- Creador
- DealStreetAsia
- DST Global
- East Ventures
- Fidelity International
- Finch Capital
- First Pacific
- General Atlantic
- GIC
- Global Brain Corp
- Goldman Sachs
- Hera Capital
- IFC
- Indies Capital
- Indogen Capital
- INA Indonesia Investment Authority
- JP Morgan
- Kejora Capital
- KKR
- Mirae Asset
- Mizuho Asia Partners
- Monk’s Hill Ventures
- Morgan Stanley
- Northstar Group
- Pacific Harbor Group
- Provident Capital
- Saratoga Capital
- Sequoia Capital
- SSEK
- Southern Capital
- Sovereign’s Capital
- Syngenta Group Ventures
- Temasek Investments
- The Carlyle Group
- Tybourne Capital Management
- Vertex Ventures
- Warburg Pincus
- Wavemaker Partners