A story travelled fast across Bali this year: foreigners can no longer organise events on the island.
That is partly true. But the full picture matters, especially for foreign investors, villa owners, hospitality operators, and anyone whose business model includes events.
There is no dramatic new law suddenly banning foreigners from events. What we are seeing in 2026 is stronger enforcement of existing immigration and employment rules.
And one case in Canggu made the consequences very clear.
WHAT HAPPENED
The case that brought the issue into focus
In late July 2026, immigration authorities took action around Entourage Bali, a recurring running and social event in Canggu.
Two Dutch nationals identified as organisers left Indonesia before they could be questioned and were subsequently placed on Indonesia’s entry ban list.
What makes the case particularly relevant is that both reportedly held valid stay permits. One held an employment ITAS and the other an investor ITAS.
The event also faced separate allegations relating to permits and the exclusion of local residents.
What might otherwise have remained a relatively small community event quickly became a much bigger example of how authorities are approaching foreign involvement in commercial activities in Bali.
THE RULE
What foreigners actually need to understand
The position communicated by immigration officials is straightforward.
Foreign nationals are not permitted to independently organise or promote events in Indonesia unless their immigration and work authorisation specifically allows the activity.
There are circumstances where foreigners can participate as authorised crew or team members, including certain events involving international performers or artists. But that should not be interpreted as general permission to organise events.
This is where we think many foreign residents misunderstand the system.
Having an ITAS or KITAS does not automatically give someone permission to conduct any business or professional activity they choose.
A residence permit answers one question: are you allowed to stay in Indonesia?
Your work and business permissions answer another: what are you legally allowed to do while you are here?
For investors and operators, we believe that distinction is becoming increasingly important.
THE CONTEXT
This is less about a new law and more about enforcement
We see the Canggu case as part of a broader shift in Bali.
Immigration authorities have increased scrutiny of foreigners carrying out activities that could be considered work or commercial activity without the appropriate authorisation.
Popular areas with large foreign populations, including Canggu, Ubud, Seminyak, Kerobokan and Uluwatu, have naturally become important enforcement areas.
The broader message from authorities has also remained relatively consistent. Bali wants higher quality tourism, stronger compliance and clearer boundaries between visiting, investing and working.
For us, the important point is not whether these rules feel stricter than before.
It is that enforcement risk has changed.
An activity that may have operated informally for years should not automatically be assumed to remain acceptable simply because nobody previously questioned it.
WHAT IT MEANS FOR PROPERTY OWNERS
Your investment strategy may involve more than accommodation
For someone who simply owns a property and rents it through a compliant operator, this development may have limited direct impact.
But Bali’s property market has changed.
We increasingly see investment concepts built around experiences as much as accommodation.
- Wellness retreats.
- Private dinners.
- Workshops.
- Community gatherings.
- Brand activations.
- Fitness events.
- Creative residencies.
- Villas positioned as private event venues.
Once events become part of the commercial model, compliance becomes part of the investment model too.
We would not recommend personally acting as the organiser
If you are a foreign owner or investor, we would avoid assuming that your residence or investor permit allows you to personally organise, promote or operate an event.
Ownership and operational involvement are different things.
We would structure the activity properly from the beginning
If events are an important revenue stream, we would want them operating through an appropriately licensed Indonesian business structure, with the necessary permits and authorisations for the activities being conducted.
The structure should come before the event, not after immigration asks questions.
We would check every foreigner’s actual role
A foreign shareholder, investor, director, consultant, host and event organiser can represent very different activities from an immigration perspective.
We would therefore look beyond whether someone simply “has a KITAS.”
The more useful question is whether their specific authorisation covers what they are actually doing.
We would also think carefully about the local community
The Canggu case was not discussed purely as an immigration issue. Allegations that local residents were excluded contributed to the attention surrounding it.
For us, that is another important lesson.
A legally structured event can still create unnecessary problems if it operates as an isolated foreign ecosystem with little consideration for the community around it.
In Bali, community relations should be treated as part of operating responsibly, not as an afterthought.
STAYING COMPLIANT
How we would approach an events driven property strategy
We do not think this means investors should abandon retreats, events or experience led hospitality.
We think they should professionalise them.
If events form part of an investment strategy, we would start by making sure the operating entity is appropriately structured and licensed.
We would then make sure every foreign person involved has permission that matches their actual role.
We would work with local partners and communities rather than designing an operation around them.
And before launching anything commercially significant, we would have the structure reviewed by qualified Indonesian legal and immigration professionals.
That cost should be considered part of operating the business properly.
OUR VIEW
The opportunity is still here. The informal shortcut is becoming harder.
We do not see stronger enforcement as the end of Bali’s events or experience economy.
Quite the opposite.
Retreats, wellness, food, culture, fitness and private hospitality remain part of what makes Bali commercially interesting.
But we believe the gap between owning an investment and operating a business needs to be understood much more clearly.
If your property depends on events to generate revenue, we would build that activity into the legal and operational structure from day one.
We work with villa owners whose properties are not simply places to stay. Some are designed around experiences, gatherings and hospitality.
That means these questions reach us in practice.
Our approach is to help owners build operations that can host guests, generate revenue and grow without creating unnecessary risk around their ability to continue doing business in Bali.
In Bali in 2026, good structure is no longer just administrative housekeeping.
It is part of protecting the investment itself.
