FLPP 2025 Quota Targeted 220,000 Units, Budget Reaches IDR 18.7 Trillion

JAKARTA - The People's Savings Management Agency (BP Tapera) targets the allocation of subsidized housing financing or Housing Financing Liquidity Facilities (FLPP) to reach 220,000 units by 2025.

BP Tapera Commissioner Heru Pudyo Nugroho revealed that the total allocation value of 220,000 FLPP quota units for the 2025 fiscal year (TA) reached IDR 18.77 trillion, sourced from the APBN.

"Later on, this allocation will be used to distribute FLPP to 220,000 housing units and is expected to contribute 2.8 percent to the MBR house ownership backlog," Heru said in a written statement, quoted on Friday, September 6.

Meanwhile, referring to the Financial Note Book II of the 2025 RAPBN, the government has designed a number of housing programs and policies to reduce the number of backlogs which are currently reported to reach 9.9 million families.

The details, starting from the determination of the interest rate tiering scheme or FLPP mortgage margin and the time limit for the subsidy period, the FLPP scheme for endowment funds, the establishment of housing funds that are managed by investment and increasing housing financing originating from non-APBN or blended financing.

If it runs smoothly, these programs are expected to be able to increase the government's fiscal leverage power and activate other sources of funds outside the state budget.

To support this, Heru said, that currently his party is working on schemes and regulations regarding the implementation of a number of creative financing.

"So, in the future it will not only manage housing savings but also other creative housing financing," he said.

As for August 2024, BP Tapera noted that it had distributed 119,100 housing units for MBR worth Rp14.69 trillion.

The financing installment consisted of distribution of 115,065 housing units worth Rp14.02 trillion and financing for Tapera as many as 4,035 housing units worth Rp671.45 billion.

It is known that the distribution of the FLPP is spread across 33 provinces covering 387 regencies/cities consisting of 9,830 housing.