Measuring the Low-Income Earner on Housing Access in Urban Areas of Indonesia and Malaysia

Abstract

The ratio between the increased demand and limited land makes affordable housing in urban areas more difficult to accommodate. Indonesia and Malaysia, as populous countries, face problems related to housing access, especially for low-income earners in urban areas. The research was undertaken for two reasons. First, problems related to housing access for low-income earners in urban areas should be solved as soon as possible. Second, it is necessary to conduct a study in order to analyze and compare these two countries in measuring low-income earners on housing access in urban areas. To this end, the normative legal approach was applied. The materials used in this study were relevant statutes, rules, regulations, journals, articles, thesis, seminar papers, and electronic materials. The result showed that the fulfillment of housing access highly depends on the state’s developmental goals. It is also associated with principles of development that each country adheres to. The government is expected to provide accurate data in measuring low-income earners on housing access. Identification of beneficiaries by combining income classification and ability to housing access may facilitate policymakers with ease when taking affirmative measures. It is necessary to suggest initiative collaboration involving academicians, business sectors, community, and government (ABCG) in Indonesia and Malaysia to provide adequate housing in urban areas.

Housing Regulations for Low-Income People in Indonesia

“…The land acquisition policy for housing indicates that the Government's policy is to give more privilege to investors by providing access to land use without maximum restrictions, as Mohamad et. All stated that housing affordability for low-income people depends on the developmental goal of the state (Mohamad et al, 2021). This is because the problem of housing affordability for the community does not only include housing problems but also involves sustainable economic, social and environmental dimensions.…”

Post-implementation Review of Low-income Housing Provision Policy: A Qualitative Study with Executives’ Perspective

“…In addition, despite public flats being intended as an alternative housing option for LICs, the majority of low-income Indonesians find vertical housing less appealing (Indrianingrum, 2016;Mohamad, Yubaidi, et al, 2021). Public flats are often chosen out of necessity due to limited better alternatives (Setiadi, 2015).…”

Discretion by the Indonesian Government in the Covid-19 Pandemic Era

“…This policy was taken because the implications of the Covid-19 pandemic have also had an impact on the worsening of the financial system, as indicated by a decrease in various domestic economic activities so that it needs to be jointly mitigated by the government and the Financial System Stability Committee (KSSK) to take forward looking in order to maintain financial sector stability. 13…”