“Housing is extremely important. Not only does it meet a basic need, especially for low-income citizens, but it can also serve as a powerful engine for growth,” Prabowo said at an event in Cileungsi, Bogor District, on Monday.
He announced an ambitious goal of building three million homes, underscoring his government’s resolve to meet demand.
“We’ve set a very high target: three million homes. That’s what we must strive for. I’m reminded of Bung Karno’s words: ‘Aim for the sky. If you miss, you may still land among the stars,’” he said.
Prabowo stressed that the housing program would be reinforced in parallel with efforts to secure food and energy.
“I believe next year we’ll build even more homes. We will secure housing, food and energy—all for the people,” he said.
His administration has mapped out eight policy measures to ease access to affordable housing, particularly for low-income groups, by cutting costs and bureaucracy.
Related news: Prabowo to launch 25 thousand subsidized homes in Bogor: Minister
The policies include exemption from the 5% land and building acquisition tax (BPHTB) for first-time homebuyers; free and faster building permits (PBG) for subsidized housing; and government-covered VAT for homes priced below two billion rupiah ($122,000).
Other steps are lower reserve requirements for banks, from five to four percent to boost mortgage liquidity; and raising the annual subsidized mortgage quota (FLPP) to 350,000 units from 220,000.
The government is also enlisting private firms in home renovation under the Self-Help Housing Assistance Program (BSPS), expanding flexible mortgage options, and allowing private banks alongside state lenders to channel FLPP loans.
Eligibility for subsidized credit has been widened to domestic workers, teachers, factory laborers and informal sector employees, broadening access to home ownership.
Related news: Prabowo launches mass signing of 26,000 subsidized homes
Translator: Fathur, Azis Kurmala
Editor: Rahmad Nasution
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