Indonesian govt, WB to assist house financing program

Jakarta (ANTARA) – Indonesia’s Ministry of Public Works and Public Housing (PUPR) and the World Bank (WB) are collaborating to assist in the implementation of the Housing Financing and Independent Housing Stimulant Assistance (BSPS) Programs for the community.

Secretary of the ministry’s Directorate General of Housing M. Hidayat noted in a statement in Jakarta on Wednesday that the Ministry of PUPR and WB had collaborated to implement the National Affordable Housing Program (NAHP) for assistance for as many as 263,520 housing units for the community across Indonesia.

“The NAHP project has succeeded in achieving and fulfilling most of the project indicators in distributing 30,422 KPR BP2BT subsidies for first home owners and serving 233,098 households below the poverty line through grants and BSPS technical support to increase access to decent housing,” he noted.

The NAHP’s main goal is to increase access to affordable housing for low-income people (MBR).

Hidayat said that the provision of decent and affordable housing, especially for MBR, had become a priority for the Indonesian Government.

“I express my sincere gratitude for the extraordinary support, teamwork, and partnership from the World Bank and all parties involved in the successful implementation of the NAHP.

The NAHP program is part of a sustainable solution and a significant breakthrough, so that people will continue to encounter difficulties in obtaining the right to decent housing,” Hidayat remarked.

He highlighted that NAHP was also involved in the development of the Housing and Real Estate Information System (HREIS), studies on the supply side of affordable housing, strategies for PT Sarana Multigriya Finansial to encourage growth in the mortgage market, development of case studies for Government Cooperation and Business Entities (KPBU) for affordable housing, as well as a comprehensive and multidimensional Housing Policy Grand Design.

The NAHP is also considered to have laid the foundation for future development of the housing sector in Indonesia to achieve the scale and capacity required to create universal access to decent and affordable housing.

NAHP’s success and achievements would not have been possible without solid collaboration, strong innovation, and unwavering commitment from various stakeholders that have resulted in significant and long-lasting impacts.

Meanwhile, Regional Operational Manager of the WB for Indonesia and Timor-Leste Bolormaa Amgaabazar stated that rapid urbanization had led to a large demand for houses across Indonesia.

In 2017, the World Bank provided 450 million US dollars for (NAHP) to support the affordable housing sector in Indonesia in collaboration with the Ministry of PUPR, she said.

The NAHP aims to increase access to affordable housing for MBR while at the same time supporting the government in meeting the 11.1 Sustainable Development Goals (SDG) targets, namely making cities and settlements inclusive, safe, resilient, and sustainable and supporting the achievement of the One Million Houses Program (PSR) target, Amgaabazar remarked.

She believes the success of the NAHP demonstrates the close partnership between the Government of Indonesia and the WB in overcoming challenges and obstacles that have taken root in the Indonesian housing market. 

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