BTN Provides Affordable Mortgages to Boost Housing Sector Economy

PT Bank Tabungan Negara (Persero) (BTN) is continuing its transformation to accelerate mortgage (KPR) distribution in support of the government’s 3 million homes programme. The provision of affordable housing financing is expected to address home ownership issues while simultaneously driving Indonesia’s economic growth, given that housing construction involves 182 business sectors.

On the supply side, challenges remain regarding licensing and land certification. The bank also sees a need for cheaper construction technology. To boost housing demand, BTN is proposing extending mortgage tenors from 20 to 40 years and offering more affordable home insurance. Additionally, BTN is offering affordable furniture loans.