President Prabowo Affirms Commitment to Equity Through Subsidized Housing Program
By: Bara Winatha
The government’s efforts to provide decent and affordable housing for low-income communities continued to show significant progress in 2025. The subsidized housing program, through the Housing Financing Liquidity Facility (FLPP) scheme, is one of the most concrete demonstrations of President Prabowo Subianto’s commitment to improving the welfare of the people, particularly young families, informal workers, and the homeless. The government continues to strengthen various oversight mechanisms, accelerate the absorption process, and ensure that building quality is maintained. This approach emphasizes that access to decent housing is a concrete manifestation of the state’s commitment to the poor.
Heru Pudyo Nugroho, Commissioner of the National Housing Fund (BP Tapera), stated that his institution continues to work hard to ensure that the FLPP program achieves the established national target. As of early November 2025, BP Tapera has successfully distributed 213,630 subsidized housing units out of a target of 350,000 units this year. To achieve this target, BP Tapera has established a special task force to accelerate the absorption of subsidized mortgages through various strategies, including marketing, cross-regional outreach, and collaboration with ministries, institutions, and local governments. Furthermore, BP Tapera is actively discussing with banks to improve the ability of prospective borrowers to pass the application process, including assisting in resolving issues related to credit scores in the Financial Services Authority (OJK)’s SLIK (Small Loans) system.
BP Tapera has mapped ten provinces with the highest market potential for accelerated outreach and marketing. Such a massive effort is crucial given the high public enthusiasm, as reflected in the 73 percent of prospective FLPP recipients already registered through the SiKasep application. According to Heru, the high potential for registration demonstrates the public’s genuine need for housing, and the government is obligated to address this need through responsive and targeted policies. He is optimistic that the target of 350,000 units is achievable and ensures there will be no significant obstacles hindering the absorption of subsidized mortgages by the end of the year.
The government has increased the subsidized housing quota from 220,000 units to 350,000 units through a decree from the Minister of Finance, while also increasing the budget to IDR 35.2 trillion to finance the program. This policy not only expands access for low-income communities but also reflects the national strategy to accelerate equitable prosperity, reduce the housing backlog, and provide affordable, decent housing. This step has received praise from various parties, particularly as it aligns with President Prabowo’s vision of making housing the primary foundation for improving people’s quality of life.
Minister of Housing and Settlement, Maruarar Sirait, stated that the subsidized housing program is concrete evidence of President Prabowo’s commitment to the common people, particularly informal sector workers and young families who have struggled to own homes due to high property prices. Maruarar highlighted how this program has been able to reach people working as cleaners, laborers, salespeople, and freelancers with limited incomes.
The subsidized housing program is not only about building the physical structure; it also ensures that government and developer services are humane and responsive to residents’ needs. Maruarar even rated the quality of the housing complexes he visited, emphasizing the importance of quality oversight to ensure developers aren’t solely focused on profit, but also provide truly decent and safe homes. He stated that young families purchasing subsidized housing need a sense of security and comfort in their daily lives.
Presidential Chief of Staff Muhammad Qodari stated that increasing the subsidized housing quota to 350,000 units demonstrates the President’s commitment to the homeless. Qodari explained that the President has placed greater trust in the Ministry of PKP due to its strong performance, high budget absorption, and direct community benefits. This budget increase for the ministry is a strategic step to accelerate the fulfillment of the national housing need, which has been a major challenge for many years.
