BTN Targets KPR Distribution To Reach 200 Thousand Units By The End Of 2023

JAKARTA - PT Bank Tabungan Negara (Persero) Tbk (BBTN) or BTN targets the distribution of Home Ownership Loans (KPR) to reach 200 thousand units by 2023. This is driven by the policy provided by the government in the form of providing value added tax incentives (VAT) borne by the government (DTP).

For information, the government provides VAT DTP incentives for the purchase of houses from the previous Rp2 billion to Rp5 billion. The VAT borne by the government of 100 percent only applies to the purchase of houses that are below Rp2 billion. As for the purchase of houses of Rp5 billion, the government will only bear around Rp2 billion.

This incentive is given for the purchase of 1 house per 1 NIK or NPWP from November 2023 to December 2024, the provision of PPN DTP incentives will take effect from November 2023 to June 2024, the amount of VAT DTP is 100 percent. Then in July 2024 to December 2024, the amount of VAT DTP will be cut to 50 percent.

Bank BTN President Director Nixon Napitupulu said the target could be driven by a fiscal policy provided by the government in the form of a VAT FTP incentive stimulus for buying a house of up to IDR 5 billion.

"We are targeting 170 thousand subsidized houses this year, approximately that can be achieved. The non-subsidized ones are approximately 30 thousand. So maybe 200-210 thousand," Nixon said after the Jakarta BTN 2023 Running event, Sunday 12 November.

In addition, Nixon believes that the fiscal policy in the form of VAT DTP incentives to encourage strengthening in the property sector will allow the growth of BTN credit disbursement to grow in double digits at the end of 2023 and 2024.

"With this incentive stimulus, we feel that we can increase home sales at a maximum price of Rp. 5 billion by 12 percent. If it is carried out together, it must be high interest, especially houses below Rp. 2 billion," he explained.

Nixon said the company was discussing with several developers or housing developers to support this VAT incentive program by providing a home price discount promo.