By: Rivka Mayangsari*)
The government continues to promote the housing sector as an important pillar in inclusive and sustainable national economic development. One of the main driving forces of this sector is PT Bank Tabungan Negara (Persero) Tbk/BTN, which not only provides housing finance but also plays an active role as a catalyst for economic growth and job creation. Through the Home Ownership Credit (KPR) program managed by BTN, the housing sector has proven capable of absorbing more than 1 million direct workers, making it one of the strategic sectors in the government’s efforts to overcome unemployment and accelerate economic equality.
BTN Corporate Secretary, Ramon Armando, revealed that each housing unit constructed involves approximately five workers. This figure was obtained from direct interviews with developers who have partnered with BTN in its housing financing program. With BTN’s mortgage loan (KPR) realization reaching 215,890 units throughout 2024, the number of workers directly absorbed is estimated to reach over 1,074,450.
However, the economic benefits of the housing sector extend beyond the construction of housing units. Ramon explained that this sector has a ripple effect on at least 180 other sub-sectors. These ripple effects include the building materials industry, such as cement, sand, stone, roof tiles, and lighting, as well as the logistics, furniture, and other services sectors. Overall, the number of jobs affected by the housing sector could reach approximately 12.5 million—a significant figure for the national economy.
With this significant potential, BTN affirmed its commitment to remain a strategic partner for the government in realizing the One Million Homes program and providing affordable housing for all Indonesians, especially low-income communities (MBR). Ramon stated that BTN’s vision is not only to help people own homes but also to drive national economic growth by creating broad and sustainable job opportunities.
BTN’s role in the housing sector extends beyond its role as a financial institution. BTN serves as a bridge between the interests of the community and the state. Through various financing schemes, both subsidized and non-subsidized, BTN reaches all levels of society. Subsidized mortgages (KPR) are a mainstay for low-income communities, while non-subsidized mortgages remain available with flexible schemes tailored to consumers’ affordability. Amidst global economic challenges and the ever-increasing need for housing, BTN remains consistent in supporting national development through an inclusive and socially just approach.
BTN’s commitment to supporting the housing sector is a concrete contribution to equitable development. When homes are built, not only are residents’ basic needs met, but new centers of economic growth are also created. A growing residential area attracts various economic activities in the surrounding area. Food stalls, laundry services, grocery stores, transportation services, and even digital businesses emerge as residents increase. Thus, the housing sector plays a dual role: fulfilling the basic right to housing and driving the local economy.
The government continues to support strategic initiatives such as those undertaken by BTN as part of national efforts to alleviate poverty, expand housing access, and improve the community’s quality of life. In the grand scheme of national development, the housing sector serves not only as a place to live but also as a symbol of social mobility and the foundation for a prosperous family life.
The positive impact of the housing sector also aligns with the government’s vision of accelerating inclusive economic development. By targeting low-income communities, housing financing programs like those implemented by BTN become a tangible tool for economic redistribution. This means that development occurs not only in large cities but also extends to buffer zones and even to remote areas. This also helps reduce social disparities and strengthens the economic resilience of communities from the grassroots level.
Furthermore, the housing sector is a crucial pillar in navigating global uncertainty. While other sectors are hampered by the crisis, the housing sector has emerged as a resilient pillar. Housing projects continue to progress because the need for housing is fundamental and cannot be postponed. Therefore, this sector is a vital pillar in maintaining national economic stability.
Going forward, BTN will continue to innovate its mortgage services, facilitate public access to financing, and strengthen partnerships with local developers to accelerate the delivery of new homes. By expanding its digital reach, expediting the approval process, and providing special incentives for low-income communities, BTN hopes to become an integral part of the national housing solution.
Through close collaboration between the government, the financial sector, and the housing industry, the ambitious goal of making Indonesia a developed and prosperous nation will be achieved more quickly. BTN, as the vanguard in the housing sector, is ready to oversee this commitment to create more jobs, accelerate economic growth, and realize the dreams of millions of Indonesians to own a livable, healthy, and affordable home.
*) Economic Observer
