Government Strengthens Subsidised Housing Financing
The government is strengthening the financing of subsidised housing to expand access for low-income communities (MBR) to affordable and decent homes. During a mass mortgage contract event for the Housing Financing Liquidity Facility (FLPP) scheme in Batang, Central Java, on Thursday (30/7), Bank BTN recorded the largest number of debtors. Nationally, the mass contract event involved 62,000 FLPP mortgage debtors across more than 100 locations in 36 provinces.
Bank BTN President Director Nixon L.P. Napitupulu stated that 30,203 BTN debtors participated in the event. He noted that this achievement was supported by collaboration with Danantara Indonesia to strengthen the national housing ecosystem. “The participation of 30,203 BTN debtors shows the high demand from the community for decent and affordable housing,” Nixon said.
BP Tapera recorded that FLPP distribution reached 118,756 units as of 29 July 2026, with a total value of Rp14.76 trillion. BTN contributed the highest number at 55,766 units, followed by BSN with 28,282 units. The government is also strengthening the supply side through the Housing Program Credit (KPR) scheme. BTN has channelled this financing to developers, contractors, building material shops, and other supply chain players, with realisation reaching approximately Rp4.39 trillion as of late July 2026.
Nixon emphasised that the bank’s position as the largest distributor is not the ultimate goal. The priority is ensuring families obtain decent, affordable, and easily financed homes. By the end of June 2026, BTN and BSN had collectively distributed 67,518 units, representing nearly 74 percent of the national FLPP distribution to 91,531 MBR. This figure rose to 107,410 MBR by 21 July 2026.
BP Tapera is also intensifying monitoring, having inspected 48,958 FLPP houses with an occupancy rate of 93.35 percent. Monitoring will be expanded to 75,000 houses across at least 77 regencies and cities by the end of 2026. Evaluations cover financing distribution, targeting accuracy, post-contract house conditions, occupancy, and fund management. BP Tapera enforces a zero-tolerance policy towards unoccupied FLPP houses.
In parallel, the Ministry of Housing and Settlement Areas is strengthening the database as the foundation for the Three Million Houses Programme and national housing policy. The ministry discussed this with Statistics Indonesia (BPS) in early August 2026 to update housing data to reflect field conditions. Minister Maruarar Sirait stressed that housing policy must be based on accurate, integrated, and accountable data. BPS Chief Amalia Adininggar Widyasanti noted that statistical data is needed to measure the performance of the national housing sector, including physical conditions such as ownership, renovations, and building material quality, as well as environmental aspects like access to sanitation, clean water, and electricity.