February 27, 2025 | 12:52 pm
TEMPO.CO, Jakarta - Bank Indonesia (BI) is set to disburse Rp130 trillion to support the financing of the 3 million housing program initiated by President Prabowo Subianto. This was revealed by the Chairman of the Housing Task Force, Hashim Djojohadikusumo.
Prabowo's younger sibling expressed optimism that the funds for the project would be sufficient. "I heard that Bank Indonesia is willing to provide Rp130 trillion to support the housing sector. Last week, Governor Perry Warjiyo made that decision. The funds are all from within the country," Hashim said in a speech at the CNBC Indonesia Economic Outlook 2025 event at The Westin Jakarta Hotel on Wednesday, February 26, 2025.
However, Hashim did not explain the mechanism for the disbursement of the funds by Bank Indonesia. Previously, it was reported that BI would support the housing program through two schemes, namely providing incentives under the Macroprudential Liquidity Incentive Policy (KLM) and purchasing Government Securities (SBN) in the secondary market.
The President's Special Envoy mentioned that the demand prospects for housing will be high. Therefore, Prabowo is targeting the availability of decent homes for 37 million families. In addition to demand, Hashim also believes that there will be sufficient initial capital for construction.
He stated that the capital will be provided by foreign and domestic investors. "In Indonesia, there is available funding, but it is scattered, in the BPJS, SBN, and BI. Apparently, our liquidity funds that are not used for the real economy are substantial," he said.
Previously, BI Governor Perry Warjiyo expressed support for the 3 million housing program. "Bank Indonesia's funding support is through the purchase of Government Securities (SBN) from the secondary market," Perry said in a press conference after a closed meeting at the Ministry of Finance on Thursday night, February 20, 2025.
He stated that this had been discussed with Finance Minister Sri Mulyani. In addition, BI also provides liquidity incentives for housing credit disbursing banks, amounting to Rp80 trillion. On the same occasion, Sri Mulyani also stated that housing government securities will be issued to support financing.
Riri Rahayu contributed to the writing of this article.
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