BANK Negara Malaysia needs to review its financing model to make home ownership much easier for the B40 and M40 groups in line with the “One Family One Home” target, Prime Minister Ismail Sabri Yaakob said. 

He said this was among decisions taken at the National Affordable Housing Council meeting, which he chaired today to discuss the direction taken and the coordination and monitoring of affordable housing plans nationwide under the campaign. 

“This is to ensure financial institutions allow easier financing for the B40 and M40 groups to own People’s Housing Project (PPR) units and other affordable homes,” he said in a statement today.

“The focus will be on direct purchase and rent to own (options).”

In addition, Ismail said, the council agreed to set a new direction for PPR housing by taking into account current needs and including new components towards realising the “Liveable Malaysia” agenda. 

He said new PPR developments will look into elements such as connectivity and internet access, including “fibre to the home”, public transport network and designs that are more economical and comfortable.

Ismail said today’s meeting also discussed strategies for the implementation of 500,000 affordable housing units nationwide during the 12th Malaysia Plan involving the federal government, state governments and private developers.

“The government is committed to ensuring the provision of adequate and quality affordable housing to meet the needs of a growing population,” he said.

“As such, the Housing and Local Government Ministry has introduced the Home Ownership Programme to ensure a more comprehensive ecosystem for housing development and financing as well as programmes that can help Keluarga Malaysia (the Malaysian Family) own homes.”

He said the government is also committed to having more affordable housing units for the younger generation as well as having affordable housing projects in the suburbs and smaller towns to allow more from the M40 group to own homes. 

“The concerns from the meeting were the rising costs of construction materials such as iron and steel as well as cartels controlling the construction industry,” he said.

In view of this, Ismail said, the Housing and Local Government Ministry and Real Estate and Housing Developers’ Association Malaysia have been directed to look into those concerns.

He said if they are traced to approved permits, the council suggests that they are opened to all. 

Ismail also urged all parties to play a role in ensuring the One Family One Home target is met. 

To realise this, he said, the federal government will provide subsidies, state governments will allocate land and banks will provide easier home financing to ensure PPR and affordable homes are sold at reasonable prices. 

The meeting also heard presentations by the Khazanah Research Institute and Bank Negara on current data and other public housing issues and financing for affordable housing.

“The information will be used by the government to improve affordable housing strategies and strengthen related policies,” Ismail said. 

The meeting, held virtually, was also attended by menteris besar, chief ministers, the chief secretary to the government, Bank Negara governor Nor Shamsiah Mohd Yunus and housing industry representatives from the government and private sector. – Bernama, February 10, 2022.