Video: To Encourage Home Ownership, BTN Extends Mortgage Tenor to 40 Years

Jakarta, CNBC Indonesia – The President Director of PT Bank Tabungan Negara (Persero) (BBTN), or BTN, Nixon Napitupulu, continues to drive the bank’s transformation to accelerate the disbursement of Housing Ownership Loans (KPR) in realising the government’s three million homes programme.

The provision of affordable housing finance is expected to address the problem of home ownership whilst also driving Indonesia’s economic growth, given that housing development involves 182 business sectors.

Nevertheless, there are issues on the housing supply side relating to permits and land certification, as well as cheaper housing construction technologies such as the use of recycled materials. In addition, improvements to housing spatial planning are needed to ensure that residential areas are developed into neighbourhoods that are friendly to their inhabitants.

In an effort to boost housing demand, BTN has proposed extending mortgage tenors from 20 to 40 years, as well as more affordable home insurance, to address the high cost of housing loans. BTN is also offering home furniture credit at affordable interest rates.

How does BTN ensure its affordable housing programme can still maintain liquidity and control non-performing loans in an era of high interest rates? For the full discussion, watch the dialogue between Mercy Widjaja and the President Director of PT Bank Tabungan Negara (Persero) (BBTN), Nixon L.P. Napitupulu, on Financial Talks, CNBC Indonesia (Thursday, 30/07/2026).