Remarks of President of the Republic of Indonesia at the Handover of Land Certificate for the People in Grobogan Regency, Central Java Province, January 23, 2024

By Office of Assistant to Deputy Cabinet Secretary for State Documents & Translation Date 23 Januari 2024

Category: Remarks @en

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Bismillahirrahmanirrahim,

Assalamu’alaikum warahmatullahi wabarakatuh,

Good afternoon,

May peace be upon us all.

Distinguished Coordinating Minister for Human Development and Culture Muhadjir—does everybody know him? If you don’t, you can get acquainted;

Distinguished Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency;

Distinguished Minister of Health—this is Mr. Budi Sadikin, but he is not a doctor. He used to be President Director of Bank Mandiri. He is not a doctor, but he was appointed Minister of Health. However, I call him Doctor Budi. He is not a doctor, but I call him Doctor Budi;

Distinguished Minister of Public Works and Public Housing, who since half past seven has been checking the construction of Solo-Purwodadi road repair, which has not been finished for years. Is that correct? I am aware of it because I pass by that road almost every week, once, twice, or thrice on the way to Randublatung, to Blora. Once the road is fixed and asphalted, it will be broken again in a year or two due to the land movement.

For this repair, last year I ordered, “Sir, it cannot be asphalted anymore. It must be paved with concrete frames with a thickness of 25 cm or rigid concrete.” We tried it, and the result is smooth. I hope it will not be broken anymore. The concrete is thick, so it will not be broken again. Likewise, we also use concrete to repair roads in Lampung. Indeed, the cost was high, but it will last for years and will not disrupt people’s activities or economic activities.

Thank you, Mr. Basuki. No one there said thank you, so I am speaking on behalf of them. Thank you, Mr. Basuki.

Distinguished [Acting] Governor of Central Java Nana, Regent of Grobogan Sri, she is very diligent, all staff of the National Land Agency in attendance and who have worked hard,

Distinguished certificate recipients,

Ladies and Gentlemen,

Good morning,

Please raise your certificates. I would like to count them to check if all of you have received it. Please raise them. Do not put it down yet. Let me count them… one, two, three, four, five, six, seven, eight, nine, 10, 11, 12, 13, 14, 15, 16, … 3,000. Correct. All of you have received the certificate. I am pleased to find that in Grobogan, as Minister of BPN said before, all lands in Grobogan already have certificates and they have been handed over to the residents. What is a [land] certificate? It is legal evidence of our land ownership.

In 2015, I went to every village to check the local infrastructure. Everywhere I went, no matter the province, what I heard was always land disputes. I inspected why it happens in almost every region and province. Land conflicts, land disputes between people, between neighbors, between the people and the Government, and between the people and private companies almost always occur. After inspecting, I found that Indonesia should have 126 million land certificates, but each year the BPN is only able to issue 500,000.

[In] 2015, there were only 46 million certificates, meaning the other 80 million have not been issued 80 million plots of land have not had a certificate. It is likely for disputes to occur, isn’t it? In a year, the BPN could only issue 500,000, so if calculated, if we want to obtain all those certificates, it would take 160 years. 126 million in 160 years because only 500,000 were issued annually, 80 million need to be issued. Would you want that? It would take 160 years to issue those certificates. Those who want that, raise your hand. I will give you a bike. Do you want that?

For that reason, in 2015 I told Head of the BPN that it could not go on like that; 500,000 a year is insufficient. I ordered that 5 million [certificates] be issued annually, and it worked in 2016. I raised the target to 7 million, and it was achieved. Now, more than 10 million are issued each year. How many plots of land throughout Indonesia have been certified, Mr. Minister? 110 million. We only have little to complete. If there had been no COVID-19 [pandemic], which lasted two years, we would have been able to issue all 126 million. However, due to COVID-19, the timeline was pushed back a little so next year it will be completed. The next administration will complete it next year. Therefore, there will be no more disputes.

If you have a certificate, which states the right owner, area of land, address, and everything… if someone comes claiming, “This is my land,” say, “No, it’s mine. This is the certificate.” Alright? Back then, disputes in court took years to be settled. People sued others because they did not have certificates. If you have a certificate, proof of legal rights to land, there will be no problem.

Second, you can use it as collateral, right? Usually, if someone has a certificate, they will use it as collateral. It is alright. You are allowed to do it but do make calculations. Make calculations if you want to lend money from the bank and use it as collateral. You are allowed to use it as collateral but do calculate [the risk]. Can you pay the monthly installments? Can you pay the full monthly installments? You have to pay the bank back.

I need to remind you to not use the land certificate to get a Rp100 million loan from the bank; the Rp20 million for buying a motorbike or Rp50 million for buying a car, a used car. That is the beginning of a problem. The problem will occur six months after getting the loan. If you are getting a loan, please use it all for work, use it all for business capital. Do not use it to purchase consumer goods.

If your business does run and you get a profit of Rp5 million, save it; a profit of Rp4 million, save it; [a profit of] Rp6 million, save it. If you want to buy a car, do it. If you want to buy a bike, do it. Use the money from the profit, not from the loan. If you buy a car using the loan money, in six months the car will be repossessed, the certificate will be taken by the bank, and you will have nothing. Be careful. You are allowed to use it as collateral but do calculate [the risk]. Agree? Calculate it. If you cannot pay the monthly installment, I discourage you to apply. If the profit is Rp10 million and the installment is Rp20 million, do not take the loan. The business will be closed. If the profit is Rp20 million and the installment is Rp10 million, it is still possible.

Third, please raise your hand if you know Pancasila by heart. I will award you with a bike. Wait a moment, it is only for certificate owners. Certificate owners. Wait… wait a moment… I will pick the person. Wait a moment, Ma’am. That one in the back, yes. One more. Take turns, please. Yes, Sir, yes. Please introduce yourself, Ma’am.

Representative of Certificate Recipients (Sulisa)

My name is Ms. Sulisa.