"I am persistent in reminding housing developers to commit to provide quality housing, with appropriate quality of construction material, to low-income residents," Minister Hadimuljono stated at online seminar of the Indonesian Housing Forum held here on Thursday.
President Joko Widodo (Jokowi) had enacted the Million Houses Programme since 2015 to expedite housing provision by enhancing synergy among housing developers, he noted.
Related news: Minister underscores importance of inclusive housing
The Million Houses Programme had provided 4.7 million housing units during the period from 2015 to 2019 and 965 thousand units in 2020, while 763 thousand housing units were completed as of September 2021, the minister noted.
"Property and housing sectors have an important role to play in economic recovery as the sectors' multiplier effect provided more job opportunities and led the recovery of 147 industry sectors for housing construction. We should then conceive a breakthrough to facilitate recovery of the housing market," Hadimuljono stated.
Related news: BRI, BP Tapera collaborate to provide low-cost home financing
The government had provided government-borne VAT incentives to support recovery of the housing market. Houses, with a price tag below Rp2 billion (around US$140 thousand), receive 100-percent incentives, while houses priced between Rp2-5 billion (until around US$350 thousand) are eligible for 50-percent incentives, the minister stated.
While commending the role of Indonesia's Chamber of Commerce and Industry (Kadin) in stimulating the national property industry, Hadimuljono underscored the importance of providing housing infrastructures through the public-private partnership scheme.
"The public-private partnership is necessary to close budget gaps in the national medium-term development plan and national strategic projects that are not covered by the national budget," he stated.
Related news: Pelindo merger to boost competitiveness: President Jokowi
Related news: Task Force necessitates 5-day quarantine for citizens, foreigners