The government is ramping up its subsidized housing and RTLH (Household Improvement) program, targeting significant increases by 2026
Jakarta – The government is increasing the housing program target for 2026 as an effort to accelerate the fulfillment of the community’s need for decent housing, particularly through the improvement of uninhabitable houses (RTLH) and strengthening subsidized housing policies.
Minister of Housing and Settlements (PKP) Maruarar Sirait said that the target for handling RTLH this year has increased significantly compared to the previous year.
“Mr. Prabowo has increased the price for uninhabitable houses, from 45,000 last year to 400,000 this year,” said Maruarar.
In addition, the government also recorded an increase in the subsidized housing quota, reaching its highest figure in history, namely 350,000 units in the last two years.
“The largest subsidized housing quota in history is 350,000, both last year and this year,” he said.
He added that this figure exceeded the achievements of previous years, which were generally lower.
“So far, it’s only around 230,000, that’s the maximum,” he added.
The government will also continue to encourage increased realization of housing programs through cross-sector collaboration, including banking, developers, and financing institutions.
“If the quota is insufficient, we’ll try to fight for it together,” he explained.
He also opened the possibility of increasing the quota if the demand in the field remains high and receives support from the Ministry of Finance.
In line with this, the Ministry of PKP is currently finalizing a subsidized apartment (rusun) policy designed to better support low-income communities. This policy was developed through a participatory approach involving various stakeholders.
“I don’t want to be a minister who doesn’t listen to the voice of the ecosystem. We must position the people as subjects, not objects, in every public policy,” Maruarar Sirait emphasized.
One of the breakthroughs in this policy is the plan to increase the unit area of subsidized flats to a maximum of 45 square meters. This expansion is expected to allow units to have two to three bedrooms, making them more suitable for families.
In addition to improving the physical quality of buildings, the government is also preparing more affordable financing schemes, including terms of up to 30 years and interest rates of around 6 percent. Rent-to-own options are also being developed to expand access to home ownership.
As an initial stage, the government, through BP Tapera, is targeting the realization of contracts for around 10,000 subsidized flats by 2026, with a focus on development in urban areas with high housing needs.
