Prabowo Backs Private Investment in North Bali Airport to Ease Tourism Pressure

Indonesia's President Prabowo Subianto has thrown his weight behind an accelerated development of a second international airport in North Bali, signaling strong government support for what could reshape tourism infrastructure on the island. The project represents a strategic shift toward decentralizing Bali's economic activity beyond its overcrowded south.

A Meeting Signals Presidential Commitment

The backing emerged from a high-level meeting on July 14 at the Presidential Retreat in Hambalang, West Java, between President Prabowo and officials from PT Pembangunan Bali Mandiri (Pembari), the state-owned enterprise tasked with developing the airport. State Secretary Prasetyo Hadi also attended the discussion, underscoring the project's significance in national planning.

According to reports from state news agency ANTARA and Kompas, the airport is now formally embedded in Indonesia's 2025–2029 National Medium-Term Development Plan (RPJMN), having been outlined in Presidential Regulation Number 12 of 2025.

Location and Strategic Purpose

The North Bali Airport will be constructed in the Kubutambahan area of Buleleng Regency. Beyond serving travelers, officials view the project as a tool for regional equity—creating new economic growth centers in North Bali rather than concentrating all development in the south.

The new airport is targeted to reduce the operational burden on Gusti Ngurah Rai Airport while also easing access to tourism destinations in the North Bali region.

Addressing Capacity Constraints

The urgency around the project stems from mounting pressure on Bali's sole international gateway. Gusti Ngurah Rai International Airport in south Bali is approaching operational capacity as tourist arrivals continue to climb. A second facility would provide breathing room for growth while opening underexplored northern regions to tourism development.

During the meeting, President Prabowo paid particular attention to technical specifications, notably the airport's capacity to handle wide-body aircraft—a critical requirement for international routes and long-haul carriers.

Private Investment Model

The project's reliance on private funding through Pembari represents a shift in how Indonesia develops infrastructure, allowing faster implementation without straining public budgets. This approach aligns with broader government strategies to leverage private sector expertise and capital for major development initiatives.

Implications for Bali's Tourism Sector

Once operational, the North Bali Airport could fundamentally alter tourism flows across the island. Rather than funneling all visitors through the south, travelers could arrive directly in the north, potentially boosting development in areas like Buleleng and neighboring regencies. This geographic distribution could ease congestion in popular southern destinations like Seminyak and Sanur while creating new revenue streams for northern communities.

Source: Bali Discovery, citing reports from ANTARA and Kompas