The Bali PT PMA KBLI restriction 2026 is one of the most significant regulatory changes for foreign investors setting up in Bali this year. If you’re planning to register a foreign-owned company (PT PMA) with a Bali domicile, this is worth understanding before you commit time and capital to a specific business classification. Since the third week of May 2026, Indonesia’s Online Single Submission (OSS) system has blocked new PT PMA registrations across 18 defined business classifications in Bali and depending on your intended activity, this could directly affect your setup plan.
Here’s what changed, the full list of affected sectors, and how to move forward with confidence.
What Is the Bali PT PMA KBLI Restriction 2026?
On 28 January 2026, Bali Governor Wayan Koster sent an official letter (No. B.27.000/642/PM/DPMPTSP) to Indonesia’s Minister of Investment and Downstream Industry, requesting the closure of new PT PMA registrations for business activities classified as low-risk and medium-low-risk in Bali. The Bali Provincial Investment and One-Stop Licensing Agency (DPMPTSP) followed up in February 2026 with a formal proposal to the Ministry.
After review, the Bali Provincial Government officially announced the finalized policy on 22 July 2026: 18 specific KBLI (Indonesia Standard Industrial Classification) codes are now closed to new PT PMA licensing through OSS, following approval from the Minister of Investment and Downstream Industry / Head of BKPM. In practice, the OSS block has already been in effect island-wide since the third week of May 2026.
For companies that already hold a valid license in one of these classifications, the license itself remains valid but quarterly LKPM investment activity reporting obligations continue to apply as long as that KBLI status remains active in the system.
The 18 Restricted Business Classifications
According to the official announcement, the following business types are currently closed to new PT PMA registration with a Bali domicile:
- Star-rated hotels with a building area under 6,000 m²
- Budget/non-star hotels (“hotel melati”)
- Real estate activities on own or leased property
- Other management consulting activities
- Car, bus, and truck rental
- Retail trade of clothing
- Retail trade of textiles
- Motorcycle rental (without purchase option)
- Other retail food trade
- Mobile retail trade of agricultural food commodities
- Other accommodation provision
- Cafés and drinking establishments
- Traditional medicine shops/stalls
- Made-to-order tailoring and garment-making
- Stadium facilities
- Fitness center facilities
- Sports event promotion services
- Industrial management consulting activities
If your planned business falls into one of these categories, standard PT PMA registration with a Bali address is not currently available through OSS.
Why the Restriction Was Introduced
The government’s stated rationale is investment quality control. Bali accounted for roughly 40% of all PT PMA registrations nationwide between 2021 and 2025, and a large share of those fell into the low-risk category meaning they required only a Business Identification Number (NIB), with no further permit or standard certificate. According to the provincial government, an internal licensing review found indications that some foreign investors used this low barrier to enter business sectors that primarily serve local micro, small, and medium enterprises (UMKM), sometimes without meaningful capital investment and, in some cases, using virtual office addresses rather than a genuine operating location.
The Governor has stated that this is not a rejection of foreign investment generally, but a targeted correction aimed at protecting sectors that historically support local businesses.
What This Means If You’re Planning to Invest in Bali
- Check your KBLI classification before engaging a notary. Confirm your intended activity’s exact KBLI code and current OSS status as an early step, not a final one. This is a standard part of our PT PMA company registration process.
- The restriction is specific, not blanket. Classifications outside this list of 18 including many higher-risk and larger-scale business activities remain open to standard PT PMA registration.
- Existing valid licenses are not automatically cancelled, but LKPM reporting and compliance obligations continue to apply.
- A registered address must reflect where the business genuinely operates. Provincial authorities have signaled increased scrutiny of virtual offices and address-only compliance, so registering elsewhere purely to bypass this restriction does not resolve the underlying compliance question if operations remain in Bali.
- This runs alongside your separate KBLI 2025 alignment obligations. All companies are expected to have reviewed their classification codes against the newer KBLI 2025 system, since some older codes have since been split or reorganized.
- If your setup includes an Investor KITAS, note that eligibility is tied to your company structure and share value, not directly to which KBLI you register but a rejected KBLI application will delay your Investor KITAS timeline too.
How Bright Solution Can Help
Confirming your KBLI classification and its current OSS status before you begin the registration process is the most reliable way to avoid delays or a rejected application under the Bali PT PMA KBLI restriction 2026. Our team can review your intended business activity against this list, verify its current status, and outline the most suitable structuring path if your sector falls under the restriction along with your ongoing tax and LKPM compliance once your company is active.
Schedule a consultation with our team to review your business classification before you register.
Frequently Asked Questions
What exactly is the Bali PT PMA KBLI restriction 2026?
It’s a provincial policy, effective since the third week of May 2026, that blocks new PT PMA registration through OSS for 18 specific low-risk and medium-low-risk KBLI classifications in Bali. It does not apply to classifications outside this list.
Does this restriction affect my existing PT PMA?
The policy targets new registrations. Existing, already-licensed companies are not automatically cancelled, though LKPM reporting obligations and general compliance review continue to apply.
My business isn't on the list of 18 am I automatically clear to register?
Not necessarily. This list reflects the classifications closed under the current policy, but you should still verify your specific KBLI code’s live status in OSS at the time of registration, since provincial authorities have indicated the review is ongoing.
Can I still register a villa rental or property management business as a PT PMA in Bali?
This depends on which specific KBLI code applies to your activity. Some property-related classifications are on the restricted list (real estate on own/leased property), while others may not be this is worth confirming with our team directly.
References
Bali Provincial Government (baliprov.go.id)
Kompas.com - Bali Batasi Investor Asing Buka Hotel, Kafe, hingga Usaha Rental
Kompas.com - Bali Tutup Izin Investasi Asing di 18 Bidang Usaha, Ini Alasannya
Antara News Bali - Bali Ajukan PMA Risiko Rendah Ditutup ke Kementerian Investasi
Tribun Bali - Akses OSS Resmi Dibatasi, Investor Asing Tak Lagi Bebas Buka Usaha Kecil di Bali
Disclaimer: Bright Solution (brightsolutionbali.com) is an independent private business legal consulting, tax, and property management advisory firm based in Bali. We are not a government agency or an official representative of Indonesia’s regulatory institutions. Regulatory details in this article reflect our understanding as of publication and may be updated by authorities; please confirm current requirements directly with our team before making business decisions based on this information.
