Indonesia’s sovereign wealth fund Danantara has received a mandate from President Prabowo Subianto to lead the Kampung Haji (Pilgrim Village) project in Makkah, according to an announcement.
The national priority project involves setting up a comprehensive service hub for millions of Indonesian pilgrims who travel annually to the Holy Land to perform Hajj and Umrah, offering comfortable lodging, healthcare facilities, as well as religious training and spiritual guidance centres.
This marks the first time that the country is taking concrete steps towards establishing a permanent, official presence in Makkah to serve its citizens.
“This mission is a mandate from the President to ensure the Kampung Haji development proceeds as envisioned and brings maximum benefit to the people,” said Rosan Roeslani, CEO of Danantara Indonesia, in a statement. “God willing, we will oversee this from start to finish so every Indonesian pilgrim can access proper, dignified facilities during their pilgrimage.”
Roeslani, who led a delegation to Makkah recently, reviewed more than 10 potential land plots and three major property developments. These locations are being evaluated as candidates for the Kampung Haji, which will include lodging, service centres, health clinics, and meeting spaces for religious preparation.
He also held high-level meetings with several Saudi authorities, including the Royal Commission for Makkah City and Holy Sites (RCMC)—the government agency responsible for the planning and development of Makkah and its sacred areas. Accompanied by Indonesia’s Hajj Management Agency, Roeslani met the Ministry of Hajj and Umrah and the Ministry of Investment of Saudi Arabia.
“Our focus goes beyond proximity to the Grand Mosque (Masjidil Haram). We are equally concerned with comfort, safety, and facility quality. Our goal is to meet all requirements, from technical and legal aspects to long-term operational sustainability,” the CEO added.
A recent policy shift by the Saudi government now allows foreign institutions, including non-Saudi entities, to legally own property in Makkah. While detailed regulations are still pending, this presents a rare opportunity for Indonesia to acquire strategic real estate assets in the Holy Land.
“We are moving swiftly to complete the necessary phases and comply with Saudi regulations. We aim for Indonesia to be among the first countries to leverage this opportunity,” Roeslani concluded.
The Kampung Haji project is part of a broader government initiative to enhance Hajj and Umrah services while strengthening Indonesia’s strategic relationship with Saudi Arabia. Beyond its functional role, the development is also envisioned as a symbol of Indonesia’s presence and commitment to protecting and supporting its citizens abroad.
Last month, Danantara inked a $10-billion partnership with Riyadh-headquartered ACWA Power to explore investments in Indonesia’s power and water sectors. It will focus on renewable power generation, combined cycle gas turbines, green hydrogen, and water desalination, which are critical for the country’s plan to reach a 34% renewable energy mix by 2034 and 8% by 2060.
In a parallel move, ACWA Power, a global leader in renewable energy and green hydrogen development and the world’s largest private water desalination company, also signed a strategic partnership with PT Pertamina, Indonesia’s state-owned oil and gas enterprise, to jointly develop large-scale renewable energy and water desalination projects across the country.
The agreement will support the development of 500MW in renewable and gas-to-power projects, green hydrogen production, and operations and maintenance services. It also opens the door to new electricity tenders and advanced energy technologies.
