Company Registration in Bali: What Changed for Foreign Investors in 2026

Company registration in Bali changed significantly in 2026. The provincial government has blocked new PT PMA registrations in 18 low-risk and lower-medium-risk business sectors, a restriction confirmed by Governor Wayan Koster on 23 July 2026. Affected activities include small-scale hotels, real estate rentals, food and beverage trade, cafés and bars, retail clothing, and consultancy, while larger-scale and higher-risk investments generally remain open.

For foreign investors, the key question is whether the planned business activity remains eligible for registration in Bali. This guide explains the sectors affected by the restriction, what remains open to foreign investment, the current PT PMA requirements, and the key checks to complete before starting the registration process.

Key Takeaways

• Eighteen business sectors are now closed to new PT PMA registration in Bali, with the restriction in effect since the third week of May 2026 and confirmed by the Governor on 23 July 2026. New OSS applications for affected activities are rejected at the system level.
• Existing PT PMA companies in restricted sectors can continue operating, provided they maintain their licenses and ongoing compliance obligations, including quarterly LKPM reporting.
• The national minimum paid-up capital for a PT PMA is now IDR 2.5 billion under BKPM Regulation 5/2025, while the total investment plan must still exceed IDR 10 billion per five-digit KBLI code and project location.
• Foreign investors should confirm their exact KBLI eligibility before committing to a lease, capital investment, or incorporation, as Bali-specific restrictions may apply even when the activity remains open to foreign investment at the national level.

What Changed for Bali Company Registration in 2026 at a Glance

Item	Position	Source	Status
New PT PMA registration in 18 sectors	Blocked via OSS since the 3rd week of May 2026	Governor’s confirmation, 23 Jul 2026	Confirmed, in force
PT PMA paid-up capital (national)	IDR 2.5 billion (down from IDR 10 billion)	BKPM Reg. 5/2025	Confirmed, eff. 2 Oct 2025
PT PMA total investment plan	Must exceed IDR 10 billion per 5-digit KBLI code	BKPM Reg. 5/2025	Confirmed
Capital lock-up	12 months, limited operational exceptions	BKPM Reg. 5/2025	Confirmed
KBLI classification system	KBLI 2025 replaces KBLI 2020	BPS Reg. 7/2025	Confirmed; deadline 18 Jun 2026 passed
Bali-specific IDR 10B paid-up capital rule	Proposed for Bali PT PMA specifically	Ministry of Investment proposal	Proposed, not yet formalized
Virtual office ban for PT PMA in Bali	Proposed	Governor’s letter, 28 Jan 2026	Proposed, not yet formalized
Nominee land arrangements	Criminal exposure added	Perda Bali 4/2026	Confirmed
Construction in 6 regions	De facto moratorium on new hotels/villas	Provincial policy, tied to Perda 2/2023	In effect since late 2025

Which Businesses Can Still Register as a PT PMA in Bali?

Before starting company registration in Bali, foreign investors should first confirm whether their planned business activity remains eligible under the current PT PMA restrictions.

Business Activities Affected by the Bali Restrictions

Since the third week of May 2026, Bali has restricted new PT PMA registrations across 18 low-risk and lower-medium-risk KBLI categories, mainly covering smaller-scale and MSME-adjacent activities.

The affected activities include:

Accommodation and Property

• Star-rated hotels with a building area below 6,000 m²
• Budget or non-star hotels
• Other accommodation services
• Owned or leased real estate

Retail and Food & Beverage

• Clothing retail
• Textile retail
• Food retail
• Mobile retail of agricultural products
• Bars and cafés
• Traditional medicine shops

Rental and Personal Services

• Car, bus, truck, and similar vehicle rental
• Motorcycle rental
• Tailoring and custom clothing services

Consultancy

• Management consultancy
• Industrial management consultancy

Sports and Fitness

• Stadium facilities
• Fitness centers
• Sports activity promotion

If a planned activity falls within or close to these categories, the exact KBLI code should be confirmed in OSS before signing a lease, engaging a notary, or committing capital.

What Remains Open to Foreign Investment?

Bali remains open to foreign investment outside the restricted activities. Larger-scale and higher-risk businesses, as well as activities under other eligible KBLI codes, may still qualify for PT PMA registration in Bali.

Eligibility depends on the specific KBLI classification, business scale, risk level, and location. Confirming these factors early can help avoid committing resources to a structure that cannot proceed through OSS.

What About Existing PT PMA Companies?

PT PMA companies already registered under the affected KBLI categories are not automatically required to stop operating, and their existing licenses remain valid.

However, they must continue to meet ongoing compliance obligations, including quarterly LKPM reporting, and ensure that their registered KBLI codes, licenses, location, and actual business activities remain aligned with current requirements.

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What Are the Capital Requirements for a PT PMA in Bali?

Foreign investors should distinguish between the minimum paid-up capital required at incorporation and the total investment plan declared through OSS, as these are separate requirements.

Paid-Up Capital vs. Total Investment Plan

• Paid-Up Capital: Under BKPM Regulation 5/2025, the minimum paid-up capital for a PT PMA is IDR 2.5 billion, reduced from the previous IDR 10 billion requirement.
• Total Investment Plan: The planned investment must still exceed IDR 10 billion per five-digit KBLI code and project location, excluding land and buildings. For example, registering two separate KBLI codes generally requires a combined investment plan of at least IDR 20 billion.

The investment plan can be implemented progressively and must be reflected in the company’s quarterly LKPM reporting.

12-Month Capital Lock-Up

Paid-up capital is generally subject to a 12-month lock-up period. During this period, it cannot be withdrawn unless used for documented business operations or eligible capital expenditure.

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• Investment Opportunities in Bali for Diaspora Visa Holders
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What Foreign Investors Should Check Before Registering

Before proceeding with company registration in Bali, foreign investors should assess the planned business activity, location, investment structure, and any project-specific approvals. These checks can identify potential licensing barriers before capital is committed or incorporation begins.

Exact KBLI Eligibility

Confirm that the planned business activity is classified under the correct KBLI 2025 code and remains open to PT PMA registration in Bali. This is particularly important following Bali’s restriction on new foreign investment across 18 low-risk and lower-medium-risk KBLI categories.

Since the restriction is implemented through OSS, the eligibility of the exact business activity should be confirmed before signing a lease, engaging a notary, or proceeding with company establishment.

Business Location and Zoning

The proposed business location should be suitable for the intended activity under the applicable spatial plan. Depending on the site and available spatial-planning data, the applicable spatial conformity or KKPR process may need to be completed through OSS.

Investors should therefore confirm the property’s location and permitted use before relying on it for the company’s licensing process, particularly for hospitality, commercial, or other location-dependent businesses.

Investment and Capital Requirements

A PT PMA generally requires at least IDR 2.5 billion in paid-up capital per company under BKPM Regulation 5/2025. The general minimum investment value remains more than IDR 10 billion, excluding land and buildings, per five-digit KBLI and project location, although the regulation provides different calculation rules for certain business activities.

Foreign investors should align their registered business activities, investment plan, and available capital before incorporation, rather than treating the paid-up capital requirement as the sole financial threshold.

Construction and Environmental Requirements

Projects involving construction, property development, or activities with environmental impacts may require additional approvals before operations can begin.

Depending on the nature and scale of the project, these may include:

• Spatial conformity or the applicable KKPR process
• Environmental requirements such as AMDAL, UKL-UPL, or SPPL, depending on the activity and its environmental impact
• Persetujuan Bangunan Gedung (PBG) for applicable building works
• Sertifikat Laik Fungsi (SLF) before an applicable building is used

These requirements should be assessed at the site-planning stage, particularly where the investment involves developing or modifying a physical property rather than operating from existing compliant premises.

How Does Company Registration Work in Bali in 2026?

Once the planned KBLI is confirmed as eligible, PT PMA registration generally follows Indonesia’s standard incorporation and OSS licensing process.

Process	Main Output	Typical Duration
Confirm KBLI and Bali eligibility	Eligible business activity	1–3 business days
Prepare deed and register through AHU	Deed and legal entity approval	3–5 business days
Complete tax registration	NPWP	A few business days
Register through OSS	NIB and applicable business license	1–2 weeks
Open a corporate bank account and inject capital	Paid-up capital completed	Bank-dependent
Complete additional sector approvals, if required	Operational licenses/approvals	Varies

A PT PMA registration typically takes around 4–8 weeks. The actual timeline depends on document readiness, KBLI and location eligibility, business risk level, bank processing, and any additional sector-specific approvals.

What Business Licenses May Be Required After Registration?

Once a PT PMA is successfully registered, the licenses required to begin operations depend on the company’s KBLI, business risk level, and specific activity.

Licensing Based on Business Risk

Under Indonesia’s OSS risk-based licensing system:

• Low Risk: NIB may be sufficient
• Medium-Low Risk: NIB and Standard Certificate may be required
• Medium-High Risk: Standard Certificate generally requires verification
• High Risk: A business license and applicable approvals are required before operations

Additional Licenses May Still Apply

Depending on the registered activity, a PT PMA may also need additional sector-specific licenses, technical approvals, certifications, or PB-UMKU before commencing operations.

These requirements should only be assessed after confirming that the specific KBLI remains eligible for foreign investment and PT PMA registration in Bali, particularly given the current restrictions on certain business activities.

Start Your Bali Investment with the Right Setup

Bali’s 2026 investment restrictions make early eligibility and licensing checks more important before committing capital or proceeding with company registration. InCorp Indonesia can support foreign investors with:

• KBLI Eligibility Assessment against current Bali PT PMA restrictions
• PT PMA Company Registration and corporate establishment
• OSS and Business Licensing for eligible business activities
• Additional Permits and Approvals based on the sector and project scope

Planning to register a company or invest in Bali? Fill out the form below or talk to our experts to assess your setup before you proceed.

Frequently Asked Questions