Bali’s investment climate in property and hospitality sectors continue to attract strong foreign investment. To support this momentum, the Association of Indonesian Curators and Administrators hosted the Indonesia Insolvency Conference 2026 on July 16–17 at The Meru Bali.
The forum gathered practitioners, judges, regulators, and academics from across Asia Pacific to discuss the UNCITRAL/United Nations Commission on International Trade Law Model Law on Cross‑Border Insolvency, aiming to strengthen Indonesia’s legal framework and provide greater certainty for investors.
In this occassion, Chairman of the association, Dr. Jimmy Simanjuntak emphasized the importance of aligning Indonesia’s bankruptcy system with international standards.
“Indonesia must be open regarding how the implementation of bankruptcy decisions is accepted in various countries, and vice versa, so that Indonesia can also begin to adapt to these laws. And indeed, we have discussed this with the Supreme Court and the Ministry of Law,” Jimmy said on Thursday 16 July 2026.
Equitable Distribution of Investment
Meanwhile, Bali Governor Wayan Koster welcomed the conference, noting how relevant the discussion is for Bali’s vibrant property and tourism sectors, which rely heavily on international capital.
“Investment in Bali, related to hotel and property, is very high. And of course, in this investment activity, there is the potential for problems that must be resolved across borders. So I am very grateful for the initiative in holding this event in Bali. This is very encouraging and creates a positive investment climate in Bali,” Governor Koster said.
Wayan Koster said his administration is ready to support the plan to make Bali as an international financial center.
While awaiting Central Government regulations, Koster added that such a financial center would not only strengthen Bali’s role in global investment but also provide momentum for more equitable distribution of investment across the island.
Bali Investment Growth and Nominee Practice
This discussion forum was also attended by the Deputy Minister of Investment/Indonesia Investment Coordinating Board, Todotua Pasaribu. He also emphasized the role of legal certainty in boosting investor confidence in Indonesia.
“Every year, investment realization in Indonesia comes from two sources. First, Domestic Investment (PMDN), and second, Foreign Direct Investment, or what we call PMA,” Todotua explained. “The creation of legal certainty is expected to increase investment realization, which is one of the pillars of the national economic growth target of 8%. Approximately 30% of this growth is targeted to come from the investment sector,” He added.
Responding to questions about nominee practices, Deputy Minister Todotua emphasized that these are not obstacles.
He explained that Bali’s rapid investment growth has often involved nominee arrangements — technically prohibited under Indonesian law but widely normalized in practice — and that this reality makes legal certainty even more important.
“Bankruptcy is a potential consequence of business activities and must be handled through legal mechanisms that provide certainty for all parties… even if problems arise, bankruptcy issues, or other issues, still have legal certainty, and the business can still recover, and its assets can be maintained.”
According to him, bankruptcy is a natural consequence of business activity and must be resolved through clear insolvency mechanisms, because only by ensuring certainty in these processes can Indonesia safeguard assets, allow businesses to recover, and strengthen the overall investment climate for both domestic and foreign investors.
Sources : AntaraNews, BaliExpress
Feat Image : AntaraNews//Dewa Ketut Sudiarta Wiguna