By: Gavin Asadit )*
Efforts to accelerate the provision of public housing through the 3 Million Houses Program have received another major boost following the Daya Anagata Nusantara Investment Management Agency (Danantara)’s move to strengthen national financing independence. This step is part of the government’s strategy to address the housing backlog, which still stands at over 12 million units, while simultaneously reducing dependence on the State Budget (APBN).
Danantara, a newly established state investment institution in early 2025, has begun playing a strategic role as a catalyst for national development financing. One of its primary focuses is the housing sector, which has been hampered by a lack of long-term funding sources. To this end, Danantara is partnering with national banks and various government institutions to create a more independent and sustainable financing ecosystem.
In June 2025, Danantara officially announced its commitment to disburse IDR 130 trillion through the People’s Business Credit (KUR) scheme specifically for the housing sector. The funds come from a consortium of state-owned banks under the Association of State-Owned Banks (Himbara) and Bank Syariah Indonesia (BSI), primarily targeting low-income communities (MBR). This scheme is expected to cover the construction of simple landed houses, the purchase of subsidized housing, and even self-help home renovations.
Danantara Chief Executive Rosan Roeslani stated that this support represents a concrete manifestation of the state’s commitment to providing adequate housing for all citizens. He stated that the housing sector is not only about public welfare but also closely linked to national economic growth. He added that the funds will be disbursed in stages starting in the second half of 2025, with the distribution mechanism continuously strengthened through cross-institutional collaboration.
Meanwhile, Herry Trisaputra Zuna, Director General of Infrastructure Financing at the Ministry of Public Works and Public Housing (PUPR), explained that the KUR for housing is an important breakthrough in closing the financing gap for the low-income segment. He emphasized that many families have been excluded from conventional mortgage schemes due to overly stringent requirements, making the KUR for housing a more flexible and affordable inclusive alternative.
Danantara’s initiative also received full support from Bank Indonesia. At a national coordination meeting held in July 2025, Bank Indonesia Governor Perry Warjiyo stated that his office had prepared Rp 80 trillion in liquidity incentives to support housing sector financing. These incentives were provided through relaxed macroprudential policies that allow banks to channel credit to priority sectors with measured risk.
Heru Pudyo Nugroho, Commissioner of the Public Housing Savings Management Agency (BP Tapera), stated that the synergy between Danantara, Himbara, and Tapera would be the main foundation in encouraging the realization of public housing construction. He believed that Danantara’s initiative marked a crucial moment in establishing a national financing scheme that relies not solely on government subsidies but rather on markets and long-term investments.
Meanwhile, Lasarus, Chairman of Commission V of the Indonesian House of Representatives (DPR RI), assessed that Danantara’s initiative aligns with the mandate of the law to expand housing access for vulnerable communities. He emphasized that the DPR would oversee the program to ensure it was targeted and free from misuse. He stated that the Rp 130 trillion in funds must be used effectively and accountably, especially as it concerns the interests of millions of Indonesian families.
On the other hand, industry players welcomed Danantara’s move, which they believe will stimulate the national construction and property sector. Perum Perumnas President Director Budi Sadikin stated that the additional liquidity from the housing credit program (KUR) will accelerate the construction of affordable housing in strategic areas. He also emphasized the importance of utilizing local building materials to increase the added value of the domestic industry.
This program is also considered capable of creating a multiplier effect on the national economy, as every 1 million housing units built can absorb up to 1.5 million workers directly and indirectly. Furthermore, the housing sector also has strong linkages with more than 140 other industrial subsectors, ranging from cement and light steel to ceramics and furniture.
As of mid-2025, the 3 Million Houses Program has reached more than 800,000 units, with a target of completing 1.5 million units by the end of the year. Support from Danantara and Bank Indonesia is predicted to accelerate the achievement of this target and expand the program’s reach to previously underserved remote areas.
Minister of Public Works and Public Housing Maruarar Sirait stated that the involvement ofTan Danantara is a breath of fresh air for the housing sector. He hopes that in the future, more private parties and non-bank financial institutions will participate in creative financing schemes to support the country’s ambitious mission of providing affordable housing for all.
With these strategic steps, Danantara demonstrates a serious commitment to becoming a key pillar of national development. While challenges remain, synergy between institutions and public support is expected to maintain the program’s sustainability and effectiveness. If managed well, this independent financing scheme will not only reduce the housing backlog but also create broad social and economic impacts for Indonesia.
)* The author is an observer of social and community issues
