Bali bans new hotel and restaurant construction after devastating floods
The Indonesian government has announced a moratorium on commercial construction in Bali, including hotels and restaurants, following deadly floods in early September that claimed at least 18 lives and affected nine regencies, including the provincial capital, Denpasar. Bali bans new hotel and restaurant construction after devastating floods.
Protection of productive land
Governor Wayan Koster confirmed that the ban will apply to “productive land, particularly rice fields”, which will no longer be allowed to be converted into tourist and hospitality facilities. The decision is part of a long-term strategy known as Bali 100-year plan, and will start to apply this year. Private residential construction remains permitted, but with strict urban planning permits.
The pressure of tourism and environmental risks
In just four years (2019–2023) the number of hotels on Bali increased by 7,%, to a total of 541 establishments, while in the first half of 2025 the island was visited by almost 2.9 million foreign tourists. Experts have been warning for years about overdevelopment and deforestation, which increase the risk of flash floods and degrade the environment.
„Sustainable tourism as a necessity“
Environment Minister Hanif Faisol Nurofiq stated that this decision is “crucial for the future of Balinese tourism”, stressing how recent floods demonstrate the island's vulnerability. The warnings also recall similar measures in Santorini, where local authorities in 2024 called for a halt to the construction of new hotels in order to stop the pressure of overtourism.
