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City to assist low-cost apartment dwellers

| Source: JP

City to assist low-cost apartment dwellers

JAKARTA (JP): The municipality will help low-cost apartment
residents to pay meet their monthly mortgage payments.

The head of the City's Housing Agency, Ongky Sukasah, said
yesterday the agency had allocated Rp 96 million (US$40,083) to
give financial assistance to needy residents in five low-cost
apartment buildings in the city.

The city hopes the funds will help families start small
businesses.

"The assistance is expected to improve residents' income,
which in turn will enable them to pay installments," Ongky said
at City Hall.

The people eligible for the scheme are those living in the
Bidaracina apartments in East Jakarta, Benhil II and Tanah Tinggi
apartments in Central Jakarta, Tambora apartment in West Jakarta
and Tebet Barat apartments in South Jakarta.

Former slum dwellers are given priority of purchase of the
apartments and pay 50 percent of the cost, or Rp 10 million to Rp
15 million. The rest is subsidized by the city.

Although many have sold their apartments, the city is sticking
to its policy of resettling slum people in them.

Some of the original owners said they sold their apartments
because they did not think they could meet the monthly
installments and maintenance fees, and they expected a drop in
income.

They had said it was hard to continue their jobs, such as
selling vegetables or food, while living in high-rise homes.

The apartments are purchased in installments of Rp 90,000 to
Rp 200,000 a month over a five to 20 year period.

Ongky had said earlier that eventually the slum residents
would prefer living in apartments, and the city would help them.

He said yesterday the assistance plan came out of a course run
by the agency for low-cost apartment residents last October.

The five-month entrepreneurship course for 359 participants,
mostly women, included cooking, sewing and medical training.

He said the basic skills could help participants start their
own businesses such as kindergartens or medical clinics.

Deputy Governor for Administrative Affairs, Idroes, who was
present at the inauguration of the fund, said he hoped residents
would use the aid to improve their earning capacity. The city was
committed to the apartment project, but there were still cultural
problems, he said.

He said the city's approach to social and financial assistance
could help the residents meet their payments and improve their
understanding of their rights and obligations as apartment
dwellers.

Horista, a sewing course participant, thanked the municipality
for the training. She said she hoped her new skills and the
financial aid would enable her to pay the installments. (11)

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