VP asks state banks to finance low-cost houses

Under the medium-term development plan, the government had set itself the target of constructing 270,000 low-cost houses per year. However, real estate developers could only build 100,000 low-cost houses per year because of limited funds, he said.
"It means that we still need funds to build another 170,000 units per year. To encourage the building of low-cost houses, there must be support from state banks," he said.
In addition, the association also asked the government to increase subsidy for low-cost houses. "In 2007, the government provided a subsidy of Rp300 billion for the construction of 80,000 low-cost houses. Until the end of the year, 100,000 low-cost houses will be built," he said.