Widodo made the proposal during his state of the union speech at parliament, a day before the country celebrates its 74th independence anniversary.

"I hereby request your permission to move our national capital to Kalimantan," said Widodo, who will be sworn in for a second term in October after winning April's election.

"A capital city is not just a symbol of national identity, but also a representation of the progress of the nation. This is for the realization of economic equality and justice," he said, without specifying the exact location for the new capital.