Heaptalk, Jakarta — The Indonesian government approved the allocation of 220,000 units of home ownership financing through the Housing Financing Liquidity Facility (FLPP) program in 2024.
“According to the results of an internal meeting on October 27, 2023, the government will commit to meeting the 2024 FLPP funding needs of 220,000 units,” said the Director General of Public Works and Housing Infrastructure Financing, Ministry of Public Works and Public Housing (PUPR) Herry Trisaputra Zuna in Jakarta
Launched in 2010, the FLPP program is one of the government’s efforts to provide low-cost, long-term funds sourced from the State Budget allocation for housing financing for the community. Currently, the FLPP program has been integrated into the Public Housing Savings Management Agency (BP Tapera).
Distributing down payment assistance subsidies
In the 2022 fiscal year, PUPR stated that the government provided FLPP for 200,000 units and increased to 220,000 units in 2023. The increase in the quota for recipients of FLPP was also followed by an increase in the budget from Rp23 trillion in 2022 to Rp25.18 trillion in 2023.
Herry further explained that throughout 2024 the government will also distribute 166,000 units of down payment assistance subsidies (SBUM) with a total budget of Rp680 billion. Then, the government will also allocate Tapera financing of Rp830 billion for public housing savings participants which includes 7,251 housing units.
According to him, the reduction in the total supply of subsidized housing units in 2024 also occurs in line with the increase in subsidized housing prices that has been set by the government in mid-2023. FLPP is expected to provide benefits and support to low-income people to help them purchase their own homes.
