Urban areas are the driving force of economic growth, and in Indonesia, the urbanization rate increased from 48% to 54% between 1990 and 2020, while per capita GDP grew at an average annual rate of 3.3%. However, housing shortages remain a pressing challenge. According to government plans, there is a nationwide shortage of 29.2 million adequate housing units, and urban areas are expected to accommodate 1 million new and renovated housing units per year for five years.

Furthermore, strengthening urban resilience in light of intensifying natural disasters and climate change is also a critical challenge. With emissions from the building and transport sectors accounting for more than half of total CO₂ emissions, the demand for decarbonized urban development is accelerating.

Against this backdrop, Indonesia's ambitious Three Million Housing Programme is expected to accelerate not only housing provision but also promote long-term environmental and climate sustainability.

The OECD, with the support of the Indonesian and Japanese governments, has compiled policy recommendations for sustainable housing, building, and urban development in Indonesian cities.
These recommendations include establishing and implementing a national housing supply strategy incorporating decarbonization targets, gradually strengthening building regulations, promoting housing supply through urban densification and TOD, and advancing disaster-resilient urban development.

This seminar offers a platform to explore these issues from a global perspective, guided by OECD recommendations, and to shape a shared vision for Indonesia's urban future.

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