{
    "success": true,
    "data": {
        "id": 1877672,
        "msgid": "subsidised-home-sales-plunge-minister-ara-reveals-licensing-hurdles-1784814759",
        "date": "2026-07-23 19:55:00",
        "title": "Subsidised Home Sales Plunge, Minister Ara Reveals Licensing Hurdles",
        "author": "",
        "source": "CNBC",
        "tags": "",
        "topic": "Property",
        "summary": "Sales of subsidised homes in Indonesia fell by 24.3% in the first half of 2026, prompting Housing Minister Maruarar Sirait to acknowledge ongoing challenges, particularly in licensing. Despite the downturn, the minister remains optimistic about meeting annual targets, citing upcoming unit inaugurations, while developers push for a 15% price increase due to rising material costs.",
        "content": "<p>Jakarta, CNBC Indonesia - Minister of Housing and Settlement Areas\n(PKP) Maruarar Sirait has responded to the decline in subsidised home\nsales during the first half of 2026, a matter previously lamented by\nproperty developers. He acknowledged that various challenges persist in\nthe programme\u2019s implementation, but the government remains optimistic\nthat this year\u2019s subsidised housing distribution target can still be\nachieved. \u201cWe certainly face challenges, such as licensing issues and so\nforth. However, Minister Nusron (ATR\/BPN Minister) and the Home Affairs\nMinister have helped expedite matters. I remain optimistic, as next week\nalone we will inaugurate 62,000 units, and in December, 71,000 units,\u201d\nMaruarar stated at the National Economic Council (DEN) office on\nThursday (25\/7\/2026). He added, \u201cChallenges will always exist, but we\nmust work hard to find solutions and support one another. It is\nimpossible to have no challenges, and I apologise if there are still\nmany shortcomings we need to address in the future.\u201d This statement\nfollows data showing that subsidised home sales in the first semester\nweakened compared to the same period last year. Amid this slowdown, the\ngovernment views resolving on-the-ground obstacles as key to boosting\nsubsidised home distribution in the second half of the year. Responding\nto developers\u2019 proposal to raise subsidised home prices by up to 15% due\nto soaring material costs, Maruarar said the government is waiting for a\nformal submission from the association before making a decision. \u201cI have\nasked the chairpersons to meet with me to officially convey their\nsuggestions and aspirations. I am still waiting for that,\u201d he said. To\ndate, the government has not decided whether subsidised home prices will\nbe adjusted. The Ministry of PKP is choosing to review all inputs from\nbusiness players before determining the next steps. \u201cLet\u2019s just wait and\nsee, we will study it. I have asked them for quite some time to meet\nwith me,\u201d he said. The realisation of subsidised home sales throughout\nthe first half of 2026 reached 91,531 units, a 24.3% drop from the\n120,976 units recorded in the same period last year. According to the\nIndonesian Housing Developers Association (APERSI), the decline was\ntriggered by a combination of licensing obstacles, rising material\ncosts, land limitations due to the Protected Rice Field (LSD) policy,\nweakening public purchasing power, and credit approval processes\nhampered by the Financial Information Service System (SLIK). Business\nplayers also assess that the slowdown became more pronounced entering\nthe second quarter through to the end of the first semester, prompting\nthe developers\u2019 association to propose a price adjustment for subsidised\nhomes to maintain the economic viability of projects amid rising\nconstruction costs.<\/p>",
        "url": "https:\/\/jawawa.id\/newsitem\/subsidised-home-sales-plunge-minister-ara-reveals-licensing-hurdles-1784814759",
        "image": ""
    },
    "sponsor": "Okusi Associates",
    "sponsor_url": "https:\/\/okusiassociates.com"
}