Govt begins land clearance for Indonesian Hajj Village in Saudi

 The Indonesian government has begun acquiring land for the Hajj Village in Saudi Arabia as the initial phase of development to improve services for pilgrims.

The project is located in the Jabal Hindawiyah area near the Grand Mosque.

"The location is very close, combined with special access such as a tunnel. Indonesian pilgrims will not be affected by the flow of vehicles and other pilgrims," the Special Advisor to the President for Hajj Affairs, Muhadjir Effendy, informed on Thursday.

He explained that the Hajj Village will be built in the Jabal Hindawiyah area, approximately 2 to 2.5 kilometers from the Grand Mosque.

In the initial phase, the government is preparing three towers capable of accommodating approximately 1,600 people. The towers are targeted for operation in next year's Hajj season, after Danantara takes over their management.

This project is a long-term vision initiated by President Joko Widodo and now continued by President Prabowo Subianto.

"We have been dreaming of having a Hajj Village for 40 years. Now it's starting to become a reality," Effendy conveyed.

He then explained that the development will include hundreds of residential towers to accommodate the majority of Indonesian Hajj pilgrims.

Of the total land requirement of approximately 84 hectares, approximately 54 hectares are currently in the land acquisition process.

Effendy noted that project financing will not depend on the State Budget, but rather through an investment scheme managed by Indonesia’s sovereign wealth fund, Danantara; and involving investors, including those from Saudi Arabia.

Furthermore, the government is preparing an additional funding scheme of approximately Rp1.7 trillion (US$95 million) to cover operational costs without burdening pilgrims.

Besides pilgrims' accommodation, the government through the state-owned logistics firm, PT Bulog, also plans to build a warehouse covering approximately 2–3 hectares in Saudi Arabia to strengthen Indonesia's food supply chain for Hajj, Umrah, and the local commercial market.

Bulog President Director Ahmad Rizal Ramdhani stated that his company has conducted a site survey in the Hajj Village area and received initial support for land acquisition.