Building Houses, to Stimulate Economic Recovery for Low-Income Families during the COVID-19 Pandemic
Habitat for Humanity Indonesia collaborated with Kemitraan Habitat and Filantropi Indonesia to hold a webinar “Community-Based Housing Development as an Economic Driver during the COVID-19 Pandemic”
Jakarta, November 18, 2020 – The COVID-19 pandemic has devastated all pillars of life for Indonesians. The largest impact is on health, but the second impact is the economic aspect. The government through the Coordinating Minister for Economic Affairs, Airlangga Hartanto, predicts that Indonesia’s economic growth in the third quarter of 2020 will experience a decline or negative growth of -1% to -3% (Source: Merdeka.com, Friday, 25 September 2020).
One of the sectors that has been severely affected and has experienced a significant decline is housing and property development; ironically, houses are needed especially during the pandemic because they act as the main defense to protect and avoid exposure to the COVID-19 virus. Aside from being a shelter, a house has the potential to be a place to make a living after many businesses have been disturbed and many people lost their jobs, especially low-income families.
Meanwhile the government continues its efforts to create adequate housing. For example, the Ministry of Public Works and Public Housing (PUPR) initiated a Community-Based Housing Stimulus Assistance program or BSPS (Self-Help Housing Stimulant Assistance).
Mitha Hasti Suryani, Head of Sub-Directorate for Integrated Housing Management, Directorate General of the Ministry of Public Works and Housing, said “The government contributes to helping people gain access to proper housing. By 2024, it is expected that access to decent housing in Indonesia can be fulfilled by 70% or around 17 million. During the 6 years of the program since 2015, there have been around 965,537 decent housing units that have been distributed to families all around Indonesia, this figure increased by 241 thousand units from the previous one. BSPS is given to those who do not have proper houses and have never received assistance from the government. Thirty percent (30%) of the funds allocated by the government to build houses are for labor works, this will create a dual effect that provides the opportunity to empower local labor, buy and use local materials so as to encourage consumption and economic activities.”
Other actors need to support the government’s efforts to achieve the target number of access to adequate housing. Habitat for Humanity Indonesia has taken part of this role by building decent housing in Indonesia for the last 23 years. Together with Kemitraan Habitat and Filantropi Indonesia, Habitat co-hosts the webinar “Community-Based Housing as an Economic Driver During COVID-19 Pandemic”, to remind and deepen people’s insights that building houses is one way to trigger economic recovery and encourage everyone to be involved to help those in need.
Jim Kendall, Appropriate Construction Technology Senior Specialist, Habitat for Humanity International Asia Pacific said, “The provision and construction of houses for low-income communities is the main trigger in driving the economy during the COVID-19 pandemic. In the process of building each house, a chain effect will emerge that builds the community’s economy. Construction activities absorb potential employment opportunities and revive the local material supply industry. This chain impact must be encouraged and enhanced by the government by involving non-governmental organizations and the private sector so that the economy continues to move and people can live comfortably and safe from the spread of the coronavirus.”
Dhony Raharjoe, Managing Director of the President Office of Sinar Mas Land, said that the domestic economy and MSMEs can be improved through housing and property industry. “The occupancy stimulus can have a double effect, especially if the aspect is MBR. This will help the community’s economy. Of course, if the capital can be invested in the property industry, state’s revenues can be added to support the provision of decent housing for the community which ultimately has an impact on helping the economy.”
The webinar, which was held in collaboration between Habitat for Humanity Indonesia, Kemitraan Habitat and Filantropi Indonesia, aims to encourage all parties, government, private, and donor agencies to see the potential and opportunities in driving the Indonesian economy through housing development. We hope that the programs that are now being run together can become a turning point for economic improvement.
About Habitat for Humanity Indonesia
Driven by the vision that everyone needs a decent place to live, Habitat for Humanity started in 1976 as a grassroots effort in the United States. Habitat has grown to become a leading global non-profit organization working in more than 70 countries. Since 1997 in Indonesia, Habitat has supported more than 96,000 families as of September 2020 to build or repair a place they call home. Through financial support, voluntary action or by raising voices in support of affordable housing, everyone can help families achieve the strength, stability, and independence they need to build a better life for themselves. Through residentials, we empower. To learn more, donate or volunteer, visit http://habitatindonesia.org / Instagram: @habitat_id
About Kemitraan Habitat
Partnership Habitat is a non-profit, independent organization with the intention of encouraging the acceleration of development in the field of urban settlements. Find out more via Instagram Kemitraan Habitat: @kemitraanhabitat
About Filantropi Indonesia (FI):
Filantropi Indonesia is an independent association of philanthropic activists and organizations whose aim is to advance philanthropy so as to contribute to the achievement of social justice and sustainable development in Indonesia. Filantropi Indonesia’s activities are focused on: research and education, capacity building of philanthropic organizations, facilitation of partnerships between philanthropic organizations and other sectors and policy advocacy. For a more complete information visit www.filantropi.or.id.
Contact Persons:
| Felina S. Sidabutar, Public Relations Habitat for Humanity Indonesia. Email: felina.sidabutar@habitatindonesia.org Tel: +6221 2991 6074 Website: www.habitatindonesia.org Instagram: habitat_id Facebok: Habitat for Humanity Indonesia | Aulia Wardhani, Program and Communication Officer Filantropi Indonesia. Email: aulia@filantropi.or.id WhatsApp: 0812-1111-5638 Instagram: @filantropiindonesia Facebook: Filantropi Indonesia Twitter: @FilantropiINA |