Government Prepares Housing Law Bill
Jakarta — Housing and Settlements Minister Maruarar Sirait announced that the government is preparing a Housing Law Bill that will address land provision and residential financing for the public.
“Hashim has approved everything and we announce that we are ready to draft the Housing Law Bill. We ask for your prayers,” he said in Jakarta on Tuesday (10 March), referring to Hashim Djojohadikusumo, Chairman of the Housing Task Force and Special Envoy of the Indonesian President.
The minister stated that the proposed legislation would support resolving various issues in the housing sector, covering land and financing regulations.
“We will regulate everything. Land matters, financing matters, all manner of issues will be discussed,” he said.
Sirait expressed that the government would work expeditiously in preparing the housing regulations to provide certainty for all stakeholders in the national housing ecosystem. He was optimistic that the preparation and discussion of the regulations would proceed smoothly with support from the House of Representatives (DPR), particularly Commission V which oversees infrastructure and housing.
“I am optimistic that this law can be made, and hopefully going forward it will be implemented justly and correctly for the interests of the Indonesian people,” he said.
The minister stated that the government is working to strengthen the national housing ecosystem and accelerate the provision of residential housing for the public.
“We must indeed be unified and united because I believe there is no super man, what exists is a super team,” he said.
The subsidised home financing programme through the Housing Finance Liquidity Facility (FLPP) scheme will maintain a fixed interest rate of approximately 5 per cent and extend mortgage tenures up to 30 years to facilitate the public’s payment of home ownership instalments.
Business actors emphasised the need for housing legislation to harmonise various regulations between the central and local levels.
“So there is centralised regulation, so that entrepreneurs or low-income households will not be confused in running their businesses and choosing their residences,” said Angga Budi Kusuma, Director of Pesona Kahuripan Group, a subsidised housing developer.
According to him, differences in licensing regulations across regions often become obstacles in housing development projects.
“With this Housing Law Bill, hopefully it will strengthen centralised regulations,” he said.