Indonesia eyes vertical housing to resolve national backlog

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Jakarta (ANTARA) – The Public Housing Savings Management Agency (BP Tapera) highlighted vertical housing as a primary strategy to address Indonesia’s national housing backlog, particularly in densely populated urban centers.

BP Tapera Commissioner Heru Pudyo Nugroho stated in Jakarta on Monday that multi-story residential developments offer an efficient solution to bridge the housing backlog—the widening gap between public housing needs and the availability of adequate, self-owned homes.

“Vertical housing has the potential to be one of the most effective solutions to reduce the housing backlog, especially in urban areas with limited land,” Heru said.

Heru explained that high-density residential buildings maximize land efficiency, enabling families to reside closer to employment hubs, public services, and transit networks. This proximity helps lower daily commuting costs and enhances overall urban quality of life.

Moving forward, high-rise apartments are expected to shift from an alternative option to a central pillar of the strategy for low-income housing (MBR) across major metropolitan areas facing land scarcity and soaring real estate prices.

“The government is currently encouraging the distribution of the Housing Financing Liquidity Facility (FLPP) for apartments as part of the acceleration of the 3 Million Houses Program,” Heru added.

Meanwhile, Housing and Settlement Areas (PKP) Minister Maruarar Sirait noted that providing adequate housing remains a critical challenge, with national homeownership backlog figures reaching 9.6 million units, according to data from the 2025 National Socioeconomic Survey (Susenas).

To support vertical housing initiatives and the creation of satellite towns, the government is utilizing land assets provided by the Ministry of Agrarian Affairs and Spatial Planning/National Land Agency (ATR/BPN).

The strategic push toward vertical development reflects direct directives from President Prabowo Subianto and Housing Task Force Head Hashim Djojohadikusumo to tackle urban housing shortages.

Related news: RI Govt plans vertical housing for low-income residents in Bali

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Related news: Indonesia pushes vertical housing to improve urban living

Translator: Suharsana Aji Sasra J. C., Yashinta Difa
Editor: Azis Kurmala
Copyright © ANTARA 2026

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