House to halt Rp50 million monthly housing allowance after public uproar

  • Published on 26/08/2025 GMT+7

  • Reading time 2 minutes

  • Author: Renold Rinaldi

  • Editor: Imanuddin Razak

The House of Representatives (DPR) leadership says that lawmakers will no longer receive the controversial Rp50 million (US$3,000) monthly housing allowance starting November 2025, following widespread protests in Jakarta that turned violent on Monday, August 25, 2025.

Deputy House Speaker Sufmi Dasco Ahmad of the Gerindra Party said the allowance, first distributed in October 2024, was intended to cover legislators’ housing for their entire 2024–2029 term. He stressed that the funds were not permanent monthly perks, as widely assumed by the public.

“The allowance was given monthly from October 2024 until October 2025, totaling Rp600 million. This is to be used to rent accommodation for five years. Starting November 2025, there will be no more monthly housing allowance,” Dasco said at the parliamentary complex on Tuesday, August 26, 2025.

Dasco attributed the misunderstanding to incomplete information made public earlier, which created the perception that lawmakers would receive Rp50 million every month until the end of their term in 2029. The assumption sparked outrage as Indonesians continue to struggle with sluggish economic conditions.

Public backlash

Dasco’s explanation appeared to contradict previous statements by other House leaders and the House Secretary-General Indra Iskandar, who earlier described the allowance as a monthly benefit without clarifying its one-year duration.

The inconsistency fueled public anger and was amplified during the massive demonstration that escalated into clashes with police on Monday.

The violent protest highlighted deep public resentment toward lawmakers’ benefits amid persistent economic hardship, raising further questions about DPR’s transparency and accountability.

Previously, lawmakers were provided with official residences in Kalibata and Ulujami, South Jakarta. However, these government-owned houses were deemed unfit and costly to maintain, prompting DPR to replace them with a housing allowance scheme.

If Dasco’s account is accurate, each legislator effectively receives Rp600 million for five years’ housing needs.

Responding to Monday’s unrest, which saw protesters and security forces clash until late evening, Dasco acknowledged public concerns but urged demonstrators to respect legal boundaries.

“Demonstrations are a constitutional right. Expressing aspirations is guaranteed by law, but it must follow legal procedures,” he said.

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