Indonesian Political, Business & Finance News

AHY Praises Prabowo's 3 Million House Programme: His Commitment is Resolute

| Source: CNBC Translated from Indonesian | Infrastructure
AHY Praises Prabowo's 3 Million House Programme: His Commitment is Resolute
Image: CNBC

Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono has praised PT Kereta Api Indonesia (Persero) or KAI’s plan to construct vertical housing units (apartment complexes) near Manggarai Station in support of President Prabowo Subianto’s 3 million house programme.

AHY stated that the 3 million house programme represents Prabowo’s solution to address Indonesia’s housing backlog whilst driving economic growth through the development of adequate housing for communities. He described the programme’s announcement as part of President Prabowo Subianto’s broader vision.

“He (President Prabowo) is resolute in his commitment and has firmly believed from the outset that a healthy family begins with a good home, and an empowered community begins with a prosperous home,” AHY said during remarks at the Manggarai Vertical Housing Development Launch event on Monday, 16 March 2026.

AHY explained that housing sector development creates impacts beyond housing provision, generating significant multiplier effects on national economic growth through construction activities. He noted that the housing sector has the potential to activate at least 180 types of industries linked to construction, building materials, and supporting sectors across various regions.

“This represents a genuinely concrete opportunity when at least 180 types of industry will grow and develop. From the housing sector alone, this could contribute significantly to national economic growth,” AHY continued.

Additionally, AHY stressed that the success of the national housing programme depends heavily on the availability of construction-ready land with clear legal status and free from disputes.

The government is coordinating with several relevant ministries to develop an integrated housing ecosystem, including those overseeing land, public works, transportation, and residential areas.

Regarding urban development, AHY viewed vertical housing development as a solution to limited land availability in increasingly congested major cities. He explained that the concept of Transit Oriented Development (TOD)-based vertical housing enables residents to live closer to public transport access and economic activity centres.

“Particularly as it is projected that 70% of the world’s population, including Indonesians, will live, work, and conduct activities in cities. Therefore, the main challenge remains that available land is extremely limited and contested for many purposes. Consequently, the approach must be housing, or vertical housing,” he explained.

According to AHY, this concept has been widely implemented in modern cities worldwide and represents an important approach to developing more integrated urban areas.

“And I must thank PT KAI, which remarkably possesses assets throughout Indonesia in prime locations,” AHY said.

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