Government prepares Bali as second-stage financial centre

Badung, Bali (ANTARA) — The government is preparing Bali to become the site of a second-stage financial centre after Jakarta, as it seeks to strengthen Indonesia’s appeal as a location for financial-sector activities amid global uncertainty.

Coordinating Minister for Economic Affairs Airlangga Hartarto said this at the International Forum for Government Credit Programmes in Nusa Dua, Badung regency, Bali, on Thursday.

Airlangga said the government had discussed Bali’s potential with state-owned enterprises (SOEs). According to him, the regulations for developing the financial centre have been completed and are now being finalised.

“We also looked at Bali’s potential to become a financial centre with the SOEs yesterday. The regulations have been completed and are now being finalised,” Airlangga said.

He explained that development was planned in stages, with Jakarta prepared as the first stage and Bali being considered for the next.

Airlangga said a financial centre was relevant amid global economic uncertainty. Indonesia, he said, had an opportunity to attract financial-sector activities, supported by its safe and comfortable environment.

“One of the safe and comfortable places is Indonesia,” he said.

He said the proposed financial centre in Bali was also in line with efforts to broaden the sources of regional economic growth, which have so far relied heavily on tourism.

In his speech, Airlangga said the government had prepared several economic developments in Bali, including the Sanur Health Special Economic Zone (SEZ) and the Kura-Kura Bali SEZ in Serangan, Denpasar.

The Sanur SEZ is intended to develop internationally standard healthcare services and attract visitors seeking medical treatment.

The Kura-Kura Bali SEZ, meanwhile, is being developed to support economic activity and attract investment.

Airlangga also highlighted the potential of the digital economy and regional talent development as part of efforts to expand Bali’s economic activity.

He said diversification was important so that Bali’s growth would not depend solely on tourism, but could also develop through finance, healthcare, education and the digital economy.

However, the plan to develop a financial centre in Bali remains at the preparation stage, Airlangga said.

Bali Governor Wayan Koster welcomed the central government’s plan.

“If it has been decided that it will be in Bali, of course we will support it. Bali only needs to provide the location; the rest is for the central government,” he said.

Asked whether Bali was ready for the plan, Koster said the island was strategically placed to make it a reality. “Bali is very ready,” he said.