12 Years Of FLPP Mortgage Subsidy, Government Claims To Have Disbursed A Budget Of IDR 97 Trillion

Illustration (Photo: Doc. Antara)

JAKARTA - The government through the state-owned company PT Sarana Multigriya Finansial (SMF) is said to have disbursed subsidies for the Housing Financing Liquidity Facility (KPR FLPP) housing loan program worth IDR 97.44 trillion from 2010 to June 2022.

SMF President Director Ananta Wiyogo said the effort was proof of the state's presence in encouraging the availability of decent and affordable housing for all Indonesian people, especially low-income people (MBR).

"The FLPP program has succeeded in supporting the ownership of as many as 1.1 million housing units spread throughout the archipelago," he said in a written statement on Monday, August 22.

According to Ananta, this is part of the realization of the Government's commitment as stated in the 1994 Constitution, Article 28H Paragraph 1 states that everyone has the right to live in physical and spiritual prosperity, to have a place to live, and to have a good and healthy living environment as well as the right to obtain health services. .

"In addition to fulfilling the mandate of the 1945 Constitution, the availability of access to decent and affordable housing also plays an important role in creating the quality of healthy and superior human resources, which will ultimately have a positive impact on economic development," he said.

However, Ananta said providing housing access for people in need is not an easy job. This is because Indonesia is a country with the fourth largest population in the world and 55.9 percent of its population lives in urban areas.

"SMF as the Ministry of Finance's special mission vehicle in this program plays an important role in easing the fiscal burden by financing the 25 percent portion of FLPP mortgage funding, so that the government only provides 75 percent of the total FLPP funding from the original 90 percent," he said.

Furthermore, Ananta stated that from August 2018 to June 2022, SMF had succeeded in distributing FLPP mortgage funds of Rp. 11.2 trillion for 318,413 housing units.

"SMF is committed to being able to continue to contribute to support the government's efforts to support decent and affordable housing," he concluded.