Minister advocates integrated approach combining physical upgrades and economic empowerment for sustainable slum improvement

“We have been too focused on physically upgrading slum areas without improving residents’ living standards, which allows them to revert to slum conditions within three to four years,” he said in a statement released in Jakarta on Wednesday.

Sirait stressed that economic empowerment programs are essential to ensure that residents of slum areas are not only able to survive but also to improve their livelihoods sustainably.

He announced plans to begin shifting the slum management approach in Jambi and Central Sulawesi provinces, instructing local governments to assess and identify slum areas eligible for new forms of intervention.

The initiative will be supported by assistance under the Self-Help Housing Stimulus program and economic empowerment measures backed by two state-owned companies, PT Permodalan Nasional Madani (PNM) and PT Sarana Multigriya Finansial (SMF).

“We have received around four million proposals for the program, while the current quota stands at 400 thousand. Therefore, it is crucial that the assistance be distributed strictly based on verified data to ensure fairness and transparency,” he said.

He added that sustainable slum upgrading requires collaboration not only from the central government but also from regional administrations, the private sector, and the broader community.

The minister discussed the plan in a recent meeting with several regional leaders, including Central Sulawesi Governor Anwar Hafid, Jambi Governor Al Haris, and several district heads in Jambi.

Both governors expressed support for the minister’s approach, stating that a comprehensive strategy is necessary to address slum areas and improve residents’ welfare.

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Translator: Suharsana Aji, Tegar Nurfitra