Indonesian Political, Business & Finance News

Deputy Tourism Minister stresses crackdown on illegal accommodations on OTAs for fairness

| Source: ANTARA_ID Translated from Indonesian | Regulation
Deputy Tourism Minister stresses crackdown on illegal accommodations on OTAs for fairness
Image: ANTARA_ID

Badung (ANTARA) – Deputy Tourism Minister Ni Luh Puspa stressed that enforcement against illegal accommodations on OTA platforms is for fairness to tourism businesses.

‘This villa regulation is not just about economic issues such as taxes and others, but it is for business fairness,’ Ni Luh Puspa said at the Bali & Beyond Travel Fair (BBTF) 2026 in Badung Regency on Saturday.

The deputy minister noted it is unfair for hospitality and villa operators with complete permits and regulatory compliance, including tax payments, while illegal accommodations proliferate on OTA platforms.

‘Regardless of the reasons, compliance with regulations is crucial to uphold fairness,’ she added.

Ni Luh Puspa stressed that enforcement against illegal accommodations is not merely about requesting OTAs to remove them from their apps.

By August 2026, the Ministry of Tourism will guide accommodation owners to process legalisation, with the number of ongoing applications steadily increasing, particularly in Bali.

‘Regarding villa regulation, our program has been running since 2025, involving both regulation and guidance; we not only ask them to obtain legal permits but also assist them,’ she said.

‘We conduct training in Bali, even accompanying the process for them to obtain permits or business legalisation, collaborating with the Bali Provincial Government, and there has indeed been an increase in villa permit applications,’ she added.

Furthermore, the Ministry of Tourism is collaborating with OTAs to accept only members with legal status.

Beyond fairness, all accommodations in Indonesia listed on digital platforms will be safeguarded in all aspects.

‘We are not asking OTAs to remove them, but to ensure all their merchants have legal status, with an NIB, to safeguard security, fairness, and sustainability,’ she said.

Consequently, Indonesia’s tourism credibility will be preserved in the eyes of tourists, as accommodation operators are consistently monitored by the government.

The potential for crime or fraud can be reduced, and tourism can be sustainable in the future, she added.

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