Prabowo Highlights High Bank Interest Burdens, Prepares to Launch Affordable Credit

President Prabowo Subianto has spotlighted the high interest rates on loans imposed by banks on the public. According to Prabowo, bank loan interest can reach 70% in one year. He made this statement during a speech at the International Labour Day or May Day event at the National Monument (Monas) in Central Jakarta on Friday (1/6/2026). “Brothers and sisters, for a long time, ordinary people have faced insanely high interest rates when borrowing money, right? Small people borrowing money face interest up to 70% per year,” said Prabowo, quoted from detikFinance. Therefore, Prabowo has requested that loan interest be maximised at only 5%. He has already conveyed this to state-owned banks. “I have instructed the banks owned by the Republic of Indonesia that soon we will provide credit to the people at a maximum of 5%,” stated the former Minister of Defence. Building 1 Million Homes for Workers Not only promising cheap bank interest, Prabowo also outlined plans to build one million homes for workers during the event. These homes can be paid in instalments over a long term of up to 40 years. According to the Head of State, this is intended to assist workers who have been paying high rental costs for housing. Through this programme, workers can redirect their rental payments towards owning their own homes. “Later, we will ensure that you will own that house. So, the 30% previously spent on rent can be used to instal your own home. The instalments can be 20 years if possible, if not 25 years, if not settled in 25 years then 30 years, if not 35 years, 40 years. Because workers won’t run away anywhere. Farmers and fishermen won’t run away anywhere,” explained Prabowo.