Jamsostek to disburse Rp 220b for housing

JAKARTA: State-owned insurance firm PT Jamsostek is targeting to cooperate with 20 banks, mostly regional banks, to disburse a Rp 220 billion (US$23.9 million) fund for a housing deposit program (PUMP) for workers, members of the social security program, in 2012.

Jamsostek president director Hotbonar Sinaga said that the cooperation with national and local banks was aimed at increasing fund absorption. The Papua Development Bank (BP Papua) is among those that have cooperated with the firm at present.

He explained that the Rp 220 billion fund was earmarked for 10,000 workers, despite that the firm had a Rp 500 billion fund.

“We will propose to the shareholders for additional funds if the funds are not enough,” Hotbonar said Monday as quoted by kompas.com.

BP Papua president director Eddy R. Sinulingga said that the bank would offer the PUMP funds to about 7,000 workers of PT Freeport Indonesia in initial stage.

He explained that workers with a salary of Rp 10 million could apply for PUMP worth up to Rp 50 million with a 10-year tenor and at a 3 percent interest rate per year.