The National Home Mortgage Finance Corporation (NHMFC) President Carlo Luis P. Rabat introduced to the Indonesian government the corporation’s newest Balai Berde Program in the recently held panel discussion entitled “The Role of Housing Finance in Responding to the Challenges of Climate Change”. The event, live streamed via YouTube and Zoom app, was organized by PT. Sarana Multigriya Finansial (Persero)/SMF.
BALAI BERDE is the newest program of NHMFC and the first of its kind among the government’s Key Shelter Agencies (KSA) under the Department of Human Settlements and Urban Development (DHSUD). It is a new program designed to increase capital allocations for green projects that contribute to environmental sustainability and resiliency to climate change and natural disasters.
In his talk, President Rabat emphasized that Balai Berde is a new platform that provides liquidity facility to any public or private housing loan originators who construct, retrofit, and finance any green certified housing units or residential buildings. To qualify for this program, the housing loan portfolio subject for purchase must receive a green building certification from Excellence in Design for Greater Efficiency (EDGE) or any green certifying bodies.
He said that a few years ago, there was reluctance to green buildings and green economy which may be born from a belief that the process is too expensive and time consuming.
“But now, there are many reasons to pursue it this time. Green buildings emit fewer greenhouse gases, consume less energy, use less water, and offer occupants healthier environments than do typical buildings,” he said.
President Rabat also added that he believes that a green economy ensures sustainable development and infrastructure resilience.
“We are one with you in promoting sustainable and greener housing to address this pressing issue of climate emergency,” President Rabat assured SMF and the participants.
Mr. Sid Herdi Kusuma, SMF’s Senior Vice President and Head of Securitization, expressed their appreciation to NHMFC for imparting its experience and best practices on green projects, which they can replicate in their country.
SMF is the government of Indonesia’s secondary mortgage institution, and also a co-member of NHMFC in the Association of Asian Secondary Mortgage Market Organization (ASMMA).