President Prabowo Subianto has addressed workers’ requests for affordable housing by pledging to construct one million subsidized residential units this year. To achieve this goal, the government plans to develop new urban areas situated strategically near industrial hubs.
During his address at the Labor Day celebration at the National Monument on Friday (May 1), the President noted that the government has already completed 350,000 housing units this year. However, he emphasized that this is only the beginning. “Our target is at least one million houses, and we will begin this initiative immediately,” he stated.
Responding to labor unions’ requests for housing clusters closer to their workplaces, President Prabowo outlined a vision for the development of new towns. These areas are designed to feature high-rise apartments and comprehensive public infrastructure to support the working class.
The planned amenities include essential public facilities such as schools, daycare centers, hospitals, and affordable public transportation systems. The President stressed the importance of mobility, stating, “There must be reliable transportation, whether it is light rail or buses, to ensure that workers can reach their jobs smoothly and efficiently.”
Providing affordable housing remains a long-standing government priority that continues to evolve. One of the key instruments for this is the Housing Financing Liquidity Facility (FLPP), which offers accessible financing options for eligible properties. Through this program, citizens can secure a fixed home mortgage interest rate of 5% per year with repayment tenors of up to 20 years. Additional assistance includes down payments starting at just 1% of the property price, supplemented by government-backed subsidies.
Despite these efforts, a recurring concern remains regarding the current housing developments under the FLPP program. Many residents have highlighted that these homes are often located too far from city centers and major industrial zones, making the new initiative to prioritize proximity to work a significant step toward improving the quality of life for the nation’s workforce.
Summary
President Prabowo Subianto has announced an ambitious plan to construct one million subsidized residential units this year to provide affordable housing for workers. These new developments will be strategically located near industrial hubs, featuring high-rise apartments and essential public infrastructure such as schools, hospitals, and efficient transportation systems to support the labor force.
The government continues to facilitate home ownership through the Housing Financing Liquidity Facility (FLPP), which offers favorable mortgage rates and low down payment options. By shifting focus toward building homes closer to workplaces, this initiative aims to address long-standing concerns regarding the remote locations of previous subsidized housing projects.
