BCA Launches Independent Mortgage Scheme to Boost Housing Finance

Alternative to Government-Subsidized Mortgage Program

PT Bank Central Asia Tbk (BBCA) has taken a significant step in Indonesia's housing finance sector by introducing its own mortgage scheme outside the government's subsidized program. This move provides more financing options for Indonesians, particularly those in the lower-income bracket. The scheme offers a 5% interest rate with a 20-year tenor, making it competitive with government-subsidized mortgages.

Key Features of BCA's Mortgage Scheme

BCA's mortgage scheme is similar to the government's subsidized mortgage program in terms of interest rate and loan tenor. However, the key difference lies in how the down payment subsidy is handled. In the government-subsidized program, the subsidy is covered by the state budget (APBN), while in BCA's scheme, the bank itself bears this cost. This approach allows BCA to offer competitive terms without relying on government support.

Government's Perspective on BCA's Initiative

The government views BCA's initiative positively, seeing it as a way to create a more diverse and competitive housing finance ecosystem. Minister Maruarar Sirait of the Ministry of Housing and Settlements (PKP) stated that BCA's decision to create its own mortgage scheme strengthens financing options for the public. The government's monitoring of subsidized mortgage disbursements shows Rp492.12 billion distributed as of November 15, 2025, with Bank Nobu, BNI, and BTN being the top disbursers.

Impact on the Housing Finance Market

The introduction of BCA's independent mortgage scheme is expected to have a positive impact on Indonesia's housing finance market. By offering an alternative to government-subsidized mortgages, BCA is increasing competition and potentially driving better terms for consumers. The government's continued monitoring of both subsidized and non-subsidized mortgage programs will be crucial in understanding the overall impact on housing affordability and market dynamics.