Bank Tanah Manages 35,000 Hectares of Land, Majority from Abandoned Land
The Indonesian Land Bank (Bank Tanah/BBT) has reported that it has secured control of at least 30,000 hectares (ha) of abandoned land by the end of 2025. This achievement represents part of BBT’s total land portfolio, which now reaches 35,000 hectares.
This acceleration in asset acquisition has been strengthened by the issuance of Presidential Regulation (PP) No. 48 of 2025 on the Management of Abandoned Land and Areas, signed by President Prabowo Subianto. The regulation mandates Bank Tanah to optimise non-productive land that has been deliberately neglected by licence holders.
“Of the approximately 35,000 hectares of land managed by Bank Tanah, around 30,000 hectares have been obtained from abandoned land,” said Acting Head of Bank Tanah, Hakiki Sudrajat, in Jakarta recently.
Hakiki explained that the distribution of the managed land is divided into two main categories. Approximately 80 per cent of the land is allocated to support the national plantation sector. This is because the geographical location of most abandoned land is situated in forest areas and far from population centres.
The remaining 20 per cent is directed towards the development of more diverse commercial and social sectors, including the development of strategic industrial zones, public housing construction, and the provision of tourism support facilities.
Regarding the target for additional land acquisition in 2026, Bank Tanah is still undertaking an in-depth verification process. BBT will coordinate closely with the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN) as the technical agency responsible for preparing lists of potential land.
“For the specific target figure, we will conduct coordination meetings with ATR/BPN. They hold the list of land that falls under the abandoned category, which will then be transferred to us,” added Hakiki.
Through PP 48/2025, the government now has full authority to reorganise areas where concessions or business permits are not being utilised in accordance with their intended purpose.