Analysis of Zero Percent Down Payment Mortgage Policy as an Efforts to Accelerate Economic Recovery in Pandemic Times
- DOI
- 10.2991/aebmr.k.211124.052How to use a DOI?
- Keywords
- Mortgage policy; 0 percent down payment; Credit
- Abstract
The impact of the Covid-19 pandemic on the national and global economy was felt in the second quarter of 2020. In the first quarter of 2020, the national economy still grew by 2.97%, although it was down compared to the first quarter of 2019 which was 5.07. This is due to the external influence of Covid-19 which has spread in several countries such as China. In the second quarter, although there is no official data yet, Indonesia is estimated to experience a contraction (negative economic growth) of around 3%. This happened because the social distancing policy or Large-Scale Social Restrictions (PSBB) only started in mid-March. Social distancing and PSBB greatly affect economic activity. Economic observers and International Institutions (IMF, World Bank, OECD) stated that there was a world economic recession in 2020. One of the drivers of the national economy is domestic consumption, the more consumption the economy will move. Bank Indonesia (BI) extended slack on property loans in February 2021 to accelerate economic recovery during the pandemic. In addition to lowering the benchmark interest rate, BI has also set Loan to Value (LTV) and Financing to Value (FTV) at 100% for property loans. This policy is effective March 1, 2021 until December 31, 2021. PT Bank Rakyat Indonesia (Persero) Tbk. is one of the banks that meet the requirements to provide 0% DP mortgages to its customers. PT. Bank Rakyat Indonesia (Persero) Tbk. to be one of the few banks in the world that consistently provides the best service to the micro, small and medium enterprises (MSME) segments to support the improvement of the community’s economy. PT. Bank Rakyat Indonesia (Persero) Tbk. welcomes the relaxation policy of easing the LTV/FTV ratio for property loans and indent housing loans (KPR), as well as easing down payments for motor vehicle loans. PT. Bank Rakyat Indonesia (Persero) Tbk. which has a long history as a bank that has served the Indonesian community on a small scale economy, always prioritizing services to the micro, small and medium enterprise (MSME) segment. PT Bank Rakyat Indonesia Tbk (BBRI) is optimistic that the distribution of Home Ownership Loans (KPR) will stretch. The purpose of this study was to study specifically at PT Bank Rakyat Indonesia (Persero) Tbk. The Singaraja Branch Office which is related to efforts to increase the distribution of housing loans to the 0 Percent DP KPR leeway policy. So that in this research the type of research used is descriptive research with a case study approach.
- Copyright
- © 2021 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Gusti Ayu Ketut Rencana Sari Dewi AU - Ni Luh Asri Savitri AU - Made Arie Wahyuni PY - 2021 DA - 2021/11/25 TI - Analysis of Zero Percent Down Payment Mortgage Policy as an Efforts to Accelerate Economic Recovery in Pandemic Times BT - Proceedings of the 6th International Conference on Tourism, Economics, Accounting, Management, and Social Science (TEAMS 2021) PB - Atlantis Press SP - 363 EP - 369 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.211124.052 DO - 10.2991/aebmr.k.211124.052 ID - Dewi2021 ER -