Indonesia's Home Affairs Minister urges public‑private partnership to expand low‑cost housing in Papua

Minister of Home Affairs Muhammad Tito Karnavian called for collaboration between the government and private developers to tackle the housing shortage in Papua. He highlighted that nearly 30 % of the province's population lacks adequate homes and announced a suite of incentives, including a low‑interest Kredit Usaha Rakyat (KUR) housing loan at about 0.5 % per month and a down‑payment of roughly one percent of the house price.

Karnavian also urged local authorities to waive building permit fees (PBG) and land acquisition taxes (BPHTB) for low‑income families, and he stressed the need for developers to plant at least two trees per new housing unit as part of a reforestation program. "Because if the government alone builds and renovates houses, APBN and APBD will not be enough," he said during a visit to the Grand Royal Regency II housing project in Jayapura.

These measures aim to increase home ownership among low‑income residents and reduce the financial burden of rent, while promoting environmental sustainability in new settlements.