JAKARTA – The Indonesian government plans to issue bonds through the Ministry of Finance to support the financing of the 3 million housing programme initiated by President Prabowo.

This plan was revealed by Finance Minister Sri Mulyani, following coordination for the 3 million housing programme with the Governor of Bank Indonesia (BI), the Minister of Housing and Settlements (PKP), and the Deputy Minister of State-Owned Enterprises (SOEs) last week.

“We also discussed enhancing our capability to support low-income housing (MBR) by issuing housing state bonds,” said Sri Mulyani in a press conference.

According to Sri Mulyani, the bond issuance is a modification of the FLPP (Housing Financing Liquidity Facility) scheme. This modification is aimed at increasing the number of beneficiaries.

“We will continue to develop various creative financing methods together so that fiscal discipline in the state budget remains intact, but is still responsive,” Sri Mulyani explained.

However, Sri Mulyani noted that the value of the bond issuance has not yet been confirmed, as the plan still requires approval and political consolidation in Commission XI of the House of Representatives (DPR RI). (KR/ZH)