"I have just persuaded Mr. Erick Thohir, the Minister of State-owned Enterprises, to consider setting up a ‘housing Bulog,’" he remarked at the State-owned Enterprises Ministry Headquarters in Jakarta on Friday.
Elaborating on his proposal, Hamzah said he envisions the new entity absorbing homes built by construction companies, similar to how Bulog absorbs unhusked rice from farmers.
He remarked that this housing offtaker would focus on subsidized homes to help address Indonesia’s backlog of 15 million housing units.
The deputy minister expressed confidence that such a body would help lower the prices of subsidized homes, making them more affordable to those in need.
He noted that the "housing Bulog" would operate in connection with the government's purchase price (HPP) and the Housing Financing Liquidity Facility (FLPP).
Furthermore, Hamzah pointed out that the housing offtaker is expected to manage not only subsidized homes but also vertical housing, such as flats.
However, he underlined that the idea is still a proposal, noting that both his ministry and the State-owned Enterprises Ministry will need to study it further before making a decision.
"Both ministries have agreed to conduct in-depth studies first. Our shared plan involves learning from best practices in countries around the world," he elaborated.
While no deadline has been set for implementing the proposal, the deputy minister expressed hope that it would soon be translated into concrete action.
He then affirmed that the proposal would only be implemented at the discretion of President Prabowo Subianto.
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Translator: Maria C, Tegar Nurfitra
Editor: Arie Novarina
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