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The victory of Ki Ageng Pemanahan over Arya Penangsang who was in opposition to the King of Pajang was the beginning of the foundation of Mataram Islam Kingdom. Thanks to Ki Ageng Pemanahan who helped Pajang, the King of Pajang rewarded him a forest named Mentaok where he built Mataram Islam Kingdom in 1575 with his people called mentawisan.

Located around 5 kilometers at the southeastern part of Yogyakarta city center, the area is now well known as Kotagede as the center of silver handicrafts in Yogyakarta. Keeping around 170 old buildings built in 1700 to 1930. Kotagede is not only named Silver City but an Old Capital City.

Silver handicraft is a culture descended by the ancestor to the next generations. Initially, handicrafts in Kotagede were made of gold, silver and copper. By the coarse of time, however, silver is most preferred. For the reason, craftsmen make more silver handicrafts until today. This handicraft is exported to foreign countries, mainly to Europe.