3 Million Homes Program: BI Gives IDR 80 Trillion Incentives, Danantara Seeks Additional Liquidity

JAKARTA, KOMPAS – The government's program to build 3 million houses has received additional funding from Bank Indonesia amounting to Rp 80 trillion through the macroprudential liquidity incentive policy. In addition, the Investment Management Agency of Daya Anagata Nusantara or BPI Danantara is also committed to supporting the additional liquidity for the program.

This was agreed upon in a limited meeting between the Minister of Housing and Residential Areas Maruarar Sirait, Governor of Bank Indonesia (BI) Perry Warjiyo, Pandu Sjahrir as a representative from Danantara, Minister of State-Owned Enterprises (BUMN) Erick Thohir, and Chairman of Commission XI of the House of Representatives Mukhamad Misbakhun. The meeting, which lasted about 1.5 hours, took place at the Thamrin Building of BI, Jakarta, on Tuesday (11/2/2025).

According to Perry, as a form of support for the government's priority program in Astacita, BI will provide macroprudential liquidity incentives (KLM) to all banks that distribute credit to the housing sector. These incentives will gradually be given up to a total of IDR 80 trillion.

"We are providing, currently it is Rp 23.19 trillion. From the discussion earlier, we will gradually increase it to Rp 80 trillion to support this housing program. So, this is a concrete form of (support) from Bank Indonesia," he said in a press conference on Tuesday night.

KLM is the relaxation of the minimum reserve requirement (GWM) for banks that provide loans to certain sectors. With this relaxation, banks that extend credit in accordance with the regulations will receive additional liquidity.

Perry stated that housing is one of the important sectors that can contribute to economic growth and job creation. In addition, the advancement of the housing sector can also drive the growth of other sectors or have a multiplier effect.

Misbakhun added that KLM is a BI policy to encourage sustainable economic growth and maintain economic stability. This has been mandated in Law Number 4 of 2023 concerning the Development and Strengthening of the Financial Services Sector (P2SK).

"This growth role is what BI will use to help this program, namely the housing program," he said.

In this regard, Misbakhun will provide political support for BI's efforts to support the government's priority programs in accordance with its role by providing additional liquidity. Thus, support for the housing sector is expected to, in turn, drive the economic growth target of 8 percent during the administration of Prabowo Subianto-Gibran Rakabuming Raka.

On the other hand, Pandu added, Danantara also supports the 3 million house construction program by seeking additional liquidity. This step, among others, is taken through an initial public offering (book building) in the market.

"So, indeed, bookbuilding is a process where we collect interest and also input from the market. So, this is what we are currently running," he said.

The spirit is one, how we as the Minister of Housing carry out President Prabowo's direction to build and renovate 3 million houses a year. Well, in the context of liquidity, with the existing situation, how is the synergy between the government and monetary.

Maruarar said that his party had discussed several times with the Governor of BI regarding housing issues, such as land availability, liquidity, targeted subsidies, and housing quality. In this discussion, the discussion on the 3 million houses program also involved various parties, namely state-owned banks, Danantara, and the DPR.

The results of the 2024 Socio-Economic Survey (Susenas) of the Central Statistics Agency (BPS) show that there is a gap between housing and the amount needed by the community (backlog) of 9.9 million units. On the other hand, there are around 26 million houses that fall into the category of uninhabitable houses.

"The spirit is one, how we as the Minister of Housing carry out President Prabowo's direction to build and renovate 3 million houses a year. Well, in the context of liquidity, with the existing situation, how is the synergy between the government and the monetary," said Maruarar.

In 2025, Maruarar continued, the government is able to build 220,000 subsidized housing units by relying on financing from the State Budget (APBN) and banking worth Rp 38 trillion. The assumption is that the average price of subsidized housing is Rp 170 million per unit.

Based on that assumption, the liquidity incentive from BI of Rp 80 trillion will increase the number of subsidized houses by more than 440,000 units or twice the financing from the APBN and banking. Thus, the construction of subsidized houses in a year can reach 660,000 units in a year.

"We can build subsidized houses for the people. This year, (the construction) can increase tremendously," said Maruarar.

In comparison, APBN financing for housing financing liquidity facilities (FLPP) reached a record high of up to 260,000 subsidized housing units in a year. The Public Housing Savings Management Agency (BP Tapera) noted that this achievement occurred in 2018.

Meanwhile, Erick said, all BUMN will continue to support government programs, including the 3 million housing development program. This commitment also requires cross-sector support, as done by BI.

"With a note, because this is massive, 3 million (houses), we also expect the role of private banks to support these programs. So, we are not alone, because this is a massive program, so it must be supported for the benefit of the Indonesian people who today are in great need of housing in many sectors. We see that the backlog itself is already too much," he said.

Erick emphasized that the state-owned bank association (Himbara) is ready to carry out the task in order to realize the construction of 3 million houses, such as PT Bank Tabungan Negara (Persero) Tbk with a housing financing market share of 80 percent. In addition, other State Bank Associations (Himbara), such as PT Bank Mandiri (Persero) Tbk, PT Bank Syariah Indonesia (Persero) Tbk or BSI, PT Bank Negara Indonesia (Persero) Tbk or BNI, and PT Bank Rakyat Indonesia (Persero) Tbk or BRI also participated.