SOE Banks to Deploy IDR130tn for Indonesia’s Housing Program

Key Summary:
- Danantara has committed to finance Indonesia's housing program
- IDR130tn to come from SOE banks; BMRI, BBRI, BBNI, BBTN, BRIS
- Impact on banks loan portfolio is minimal at only 3.3% of total
Indonesia’s sovereign wealth fund, Daya Anagata Nusantara (Danantara), has expressed its commitment to support the government’s strategic housing program by deploying IDR 130 trillion (equivalent to $8 billion) in financing through five state-owned enterprise (SOE) banks.
What’s new? At a joint conference held by Danantara and Ministry of Housing and Settlement (PKP), it was revealed that the SOE banks are prepared to allocate funding totaling IDR 130 trillion to support the construction of 3 million housing program.