Indonesia Grapples With Stark Land Ownership Inequality
May 7, 2025
The Imbalance Unveiled
Indonesia faces a notable challenge in land distribution, with a vast disparity in ownership. Nusron Wahid, minister of agrarian and spatial planning/head of the National Land Agency (ATR/BPN), has brought this issue to the forefront, highlighting the urgent need for reform.
Did you know? Indonesia’s total mainland area is approximately 170 million hectares, with 70 million hectares classified as non-forest areas.
The minister revealed that a single family controls an astounding 1.8 million hectares of land within the archipelago.
Small farmers in NTB (West Nusa Tenggara),including Nahdlatul Wathan residents,are looking for land or two hectares can be in conflict.
Nusron Wahid, Minister of Agrarian and Spatial Planning/Head of the National Land Agency (ATR/BPN)
Extent of Corporate Control
The concentration of land ownership extends beyond individual families. Approximately 30 million hectares, nearly 46% of the 70 million hectares of non-forest areas, are controlled by 60 extended corporate families.
Pro Tip: Reviewing Business Use Rights permits (HGU) and Building use Rights (HGB) is crucial for redistributing land more equitably.
This concentration underscores the structural inequalities present in Indonesia’s land management system.
But this, there is one family that controls up to 1.8 million hectares, this is clearly structural inequality.
Nusron Wahid, Minister of Agrarian and Spatial Planning/Head of the National Land Agency (ATR/BPN)
Presidential Mandate for Reform
President Prabowo Subianto has tasked Minister nusron with overhauling the land distribution and management system to address these imbalances. This mandate includes a thorough review of Business Use Rights Permits (HGU) and Building Use Rights (HGB).
The goal is to ensure a fairer distribution of land resources across the nation.
Guiding Principles for Land Redistribution
minister Nusron outlined three core principles that will guide the land redistribution efforts: justice, equity, and economic sustainability.
- Justice: Ensuring fair access to land for all citizens.
- Equity: Leveling the playing field by redistributing land from those who control vast areas to those in need.
- Economic Sustainability: Promoting land use practices that support long-term economic growth and environmental preservation.
The minister emphasized the need to support small farmers and provide land to those who currently have none.
For those who have controlled the vast land, do not add, the small ones we help develop, who do not have, we find land. That is the concept of justice that we are fighting for.
Nusron Wahid, Minister of Agrarian and Spatial Planning/Head of the National Land Agency (ATR/BPN)
Collaboration with Community Organizations
The Ministry of ATR/BPN is actively seeking partnerships with community organizations, including Nahdlatul Wathan, to facilitate the land redistribution process.
Minister Nusron highlighted the importance of inclusivity in national development.
We are ready to work with Nahdlatul Wathan, as we have partnered with PBNU, Muhammadiyah, Persis, and MUI… Because Indonesia is large and the majority of the population is Muslims,and in it there is Nahdlatul Wathan.No one should be left in the development car.
Nusron Wahid, Minister of Agrarian and Spatial Planning/Head of the National Land Agency (ATR/BPN)