Indonesian Political, Business & Finance News

City slum areas reflect social gap: Soeharto

City slum areas reflect social gap: Soeharto

JAKARTA (JP): President Soeharto said yesterday that slum
areas in the city are a reflection of the social gap in society
and all people should work together to do away with those areas.

The President made the statement when inaugurating a low cost
apartment complex at Bidara Cina subdistrict in East Jakarta. The
construction was partly financed by conglomerates.

Soeharto pointed out that building low cost apartments
reflects that social solidarity among Indonesians is still high
and it is important to continue maintaining this attitude
because the development of this country is not only for certain
individuals but for all Indonesians.

"I hope this social activity can stimulate other businessmen
to participate in building low cost apartments in Indonesia and I
urge real estate companies to not only build luxurious homes but
also low cost ones," Soeharto said.

The President also commended efforts to replace slum dwellings
with low cost apartments which are healthier and cleaner.

"It is important to start building vertical housing because if
we continue building just houses there will be no space for
agriculture," he said.

Soeharto also stressed the importance of assessing people's
capability of buying apartments without ignoring other aspects,
such as security, charm and the quality of the apartment.

"Just don't forget that the apartment is for those who have
limited incomes," Soeharto said.

Bidara Cina low cost apartment was built for those who used to
live along the Ciliwung river bank. The project was built from
funds donated by conglomerates to commemorate National Social
Solidarity day in 1993.

During a discussion with the residents after the ceremony,
Soeharto said the government intends to continue the kampong
improvement project by building low cost apartments in what are
at present slum areas.

Governor Surjadi Soedirdja reported that the apartment
complex consists of seven blocks of five-story buildings with a
total of 688 apartments.

The governor said Bidara Cina apartment complex is different
from other low cost apartments in the city because it is built as
part of the Ciliwung river rehabilitation project and financed by
several agencies such as the City Administration, Ministry of
Social Services, Public Works Ministry and various conglomerates.

Surjadi said the city administration has so far built about
8.734 low cost apartments and about 2.687 apartments are still
under construction.

The governor said the production cost for one apartment is Rp
30 million but since the city administration gives more than a 50
percent subsidy buyers will pay less than the full value.

The price of an apartment on the first floor is Rp 15 million
which can be paid on an installment basis, Rp 12.48 million for
the second floor, Rp 11.89 million on the third floor and Rp
11.250 on the fourth floor. (yns)

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