Indonesia Housing Minister addresses housing crisis and program targets

Minister of Housing and Settlement Areas Maruarar Sirait is addressing significant challenges in Indonesia’s ‘Bedah Rumah’ (House Renovation) program. As of late October 2026, the program has reached only 14.93 percent of its 400,000-unit target. To accelerate progress, the Ministry is strengthening coordination with regional governments to overcome obstacles such as labor shortages and material distribution issues.

In Jakarta, the Minister highlighted a critical gap in local funding, noting that the provincial government lacks a budget for repairing uninhabitable homes despite there being over 821,000 such residences in the capital. To compensate, the central government has increased the renovation quota for Jakarta from 158 units in 2025 to 10,300 units in 2026.

To ensure transparency and prevent corruption, Maruarar has granted the National Public Procurement Agency (LKPP) full access to ministry data and documents. He also introduced the ‘Tender Rakyat’ (People’s Tender) innovation, an open mechanism for selecting building material suppliers to ensure budget efficiency and allow for community oversight.