BI Requested to Cut Risk Weighted Asset

VIVAnews - State Minister of Public Housing, M Yusuf Asy'ari, requested Bank Indonesia (BI) to cut risk weighted asset for subsidized home loan from 40 percent to 20 percent.

"It's aimed at increasing the disbursement of subsidized home loan," he said Thursday, Feb 12.

Asy'ari said he hoped BI can prioritize housing industry through a policy that will be issued. Meanwhile, it is expected that home loan portfolio may be categorized as productive credit.

In line with the request, BI Governor Boediono said he will carefully weigh the prudential aspect.

In order to boost home loans, Asy'ari has suggested Coordinating Minister for the Economy to grant a stimulus package for the real sector. He proposed for value-added tax program whose input is guaranteed by the government as well as liquidity facilitation for subsidized apartment.

Other programs include supply of basic loans for Bank Tabungan Negara aiming at issuance of subsidized home loans facility for subsidized proper apartment.

Translated by: Bonardo Maulana Wahono