Foreign Ownership of Land in Bali Denied, But 463 Legal Plots Confirmed

Foreign Ownership of Land in Bali Denied, But 463 Legal Plots Confirmed

Illustration.

Bali’s Land Office (BPN) has denied claims of foreign ownership of land in Bali, particularly on small islands. But officials admit that 463 land plots are legally held by foreign nationals under land use rights (Hak Pakai).

The islands in question include Nusa Penida, Nusa Lembongan, and Nusa Ceningan in Klungkung Regency, Menjangan Island in Buleleng, and Gili Bia in Karangasem.

“We checked the records with the Ministry of Marine Affairs and Fisheries. There is not a single island owned by a foreigner. Many Indonesian citizens live on these islands,” Daging stated on Tuesday (July 8).

He clarified that while foreigners cannot own land in Indonesia, they are allowed to hold land use rights (Hak Pakai). In Bali, 463 plots of land are registered under foreign ownership with SHP status.

“Foreign nationals cannot have freehold titles. They can only be granted land use rights,” he explained.

According to Government Regulation No. 18/2021, foreigners may acquire up to 2,000 square meters of land valued at a minimum of Rp5 billion. The use rights are valid for 30 years, extendable by 20 years, and renewable for another 30 years, totaling up to 80 years.

“These 463 plots are not hotels. If anything, they’re likely villas or luxury homes under personal names,” he added.

Daging admitted that it remains difficult for his office to detect whether such properties are being rented out or if they were purchased using nominee schemes—a practice in which foreigners acquire land by using an Indonesian citizen’s name.

“If there’s no legal administrative transaction involving our office, we cannot detect leases or nominee practices. These cases often surface only after legal problems arise,” he said.

To address this, the Bali Provincial Government is currently drafting a regional regulation to minimize the use of nominee arrangements by foreign buyers.

The 463 plots are spread across several regencies in Bali:

  • Badung: 187 plots
  • Denpasar: 54 plots
  • Gianyar: 52 plots
  • Jembrana: 31 plots
  • Karangasem: 25 plots
  • Klungkung: 24 plots
  • Bangli: 14 plots
Disclaimer: While every effort has been made to ensure accuracy, this article may contain minor inaccuracies in names, locations, or event details. Readers are welcome to contact the editorial team for any clarification.

Comments are closed.