27 Million Indonesian Families Live in Substandard Housing

The Head of the Housing Task Force, Hashim Djojohadikusumo, has stated that 27 million families in Indonesia live in uninhabitable housing. They reside in slums consisting of makeshift shelters or barracks without electricity or access to clean water.

“It is not really a house, but that is the reality,” Hashim said at a land handover ceremony of 30.7 hectares in South Cikarang, Bekasi Regency, on Sunday, 8 March 2026.

Hashim attributed the situation to unreliable and inaccurate government data, which has become an obstacle for the government in designing programmes. Consequently, President Prabowo Subianto has instructed the establishment of a centralised data centre aligned with the Central Statistics Agency and placed under the authority of the Ministry of National Development Planning or the National Development Planning Agency (Bappenas). “It can then be handled by Danantara, the Investment Ministry,” he said.

The government has created a three-million-unit housing programme for low-income families. The programme is distributed across various regions throughout Indonesia to enable residents to occupy suitable housing with affordable instalments.

One private entity supporting the programme is Lippo Group, which has handed over 30.7 hectares of land to the government in the Meikarta area of South Cikarang, Bekasi Regency. Apartment-style housing will be constructed in 18 towers, each 32 storeys high, specifically for low-income residents.

“We hope to be able to provide 140,000 apartment units to our citizens who wish to own a home,” Hashim stated.

Beyond providing suitable housing, the President’s brother claimed that the housing industry can generate a multiplier effect on economic circulation of 1.5 to 5 times. During construction, there will also be economic activity in related sectors such as construction contractors and household furnishings.