The tourism landscape in Indonesia is shifting dramatically eastward. While Bali remains the crown jewel, sophisticated investors are rushing to secure their foothold in “The New Balis”—specifically Labuan Bajo, Mandalika, and Raja Ampat.
The region offers pristine marine biodiversity and a government push for high-value, low-volume eco-tourism. However, the window to enter these protected zones with a “business as usual” mindset has closed due to the 2026 enforcement of strict visitor quotas and mandatory digital booking systems.
Operating a tourism venture here without a robust legal structure is a liability. The “nominee” arrangements of the past are now prime targets for the Investment Coordinating Board’s (BKPM) intensified audits.
To legally capture the upside of this boom, foreign investors must establish a PT PMA Tourism Indonesia entity.
This structure grants you 100% foreign ownership rights under the Positive Investment List, protecting your assets from local disputes and ensuring you can legally employ foreign experts.
Navigating this terrain requires precision. From meeting the new paid-up capital requirements to aligning with Global Sustainable Tourism Council (GSTC) standards, the path to compliance is specific.
This guide details the exact steps to set up your foreign-owned tourism company in Eastern Indonesia, ensuring you thrive within the new regulations.
For official investment guidelines and risk-based licensing, always refer to the Online Single Submission (OSS) system.
Table of Contents
- Why Eastern Indonesia is the Next Gold Rush
- Capital Requirements: The 10 Billion Reality
- Step-by-Step PT PMA Setup Process
- Mastering the TDUP and Risk-Based Licensing
- Case Study: The Digital Lockout
- Navigating Komodo and Raja Ampat Quotas
- Key Risks: Environmental and Compliance Pitfalls
- Fees and Timelines for 2026
- FAQs about Tourism Investment
Why Eastern Indonesia is the Next Gold Rush
The Indonesian government’s strategic pivot to Eastern Indonesia is backed by massive infrastructure spending, including airport expansions in East Nusa Tenggara (NTT) and Papua.
For foreign investors, the primary legal benefit is the Omnibus Law’s Positive Investment List (Presidential Regulation 10/2021).
This regulation effectively opens sectors like 3-star hotels, dive centers, and tour operators to 100% foreign ownership.
However, this access comes with a caveat: sustainability. The government is no longer interested in mass market tourism for these fragile ecosystems.
A foreign-owned company established in these regions is expected to contribute to the local economy and environment.
This requirement is often written into the environmental impact documents (UKL-UPL) necessary to secure your business license, forcing investors to adopt high-yield, low-impact models.
Capital Requirements: The 10 Billion Reality
A common misconception in 2026 involves the capital needed to start a PT PMA Tourism Indonesia venture. While the total “Investment Plan” must still be declared at IDR 10 billion (excluding land and buildings) to qualify as a large business, the immediate financial burden has shifted.
Recent updates allow for a minimum paid-up capital of IDR 2.5 billion to be deposited into the company bank account post-incorporation.
This distinction is critical for cash flow. You do not need IDR 10 billion in cash on day one. Instead, you present a realized investment report (LKPM) showing how you will reach that IDR 10 billion target over time through asset purchases, construction costs, and operational expenditures.
Be warned: for tourism businesses, “land” is often the biggest expense, but because the IDR 10 billion requirement excludes land value, your investment plan must focus on infrastructure and equipment.
Step-by-Step PT PMA Setup Process
Establishing your entity begins with drafting the Deed of Establishment (Akta Pendirian) before a notary. This document must specifically list your business activities using the correct 2020 KBLI codes (e.g., 55111 for Star Hotels).
Choosing the wrong code can be fatal; a “restaurant” code will not allow you to run “tours,” and vice versa. Once approved by the Ministry of Law and Human Rights, your company becomes a legal entity.
The next phase is the OSS-RBA registration to obtain your Business Identification Number (NIB). For a PT PMA Tourism Indonesia entity, the system automatically assesses risk levels.
Most general tourism activities are “Medium-High Risk,” meaning your NIB is not effective immediately.
You must undergo verification of your technical standards—such as hygiene certification (CHSE) and environmental feasibility—before commercial operations can begin.
Mastering the TDUP and Risk-Based Licensing
The Tanda Daftar Usaha Pariwisata (TDUP) is the holy grail for your operations. Under the Risk-Based Approach (RBA), this is integrated into the Standard Certificate verification.
For businesses in sensitive zones like Labuan Bajo, the verification often involves a physical inspection by the local Tourism Office (Dinas Pariwisata). They will check everything from waste management to staff competency.
Failure to secure this creates a precarious existence. Many foreigners operate on a simple NIB, thinking it is enough. It is not.
Without the verified Standard Certificate, your business is technically illegal. In Eastern Indonesia, where surveillance is tightening to protect marine parks, a missing permit can lead to an immediate operational halt and fines starting at IDR 100 million.
Case Study: The Digital Lockout
For two years, Lars (45, Stockholm) ran his dive resort near Labuan Bajo on a handshake and a prayer. His local partner held the licenses, and the guests kept coming. But in April 2026, the digital gate slammed shut.
When Lars tried to log into the Komodo National Park booking system, his access was denied.
The new quota system required a verified corporate NIB—something his “informal” partnership didn’t have. Overnight, his thriving resort became a ghost town, unable to sell a single ticket to the park.
Lars realized too late that by avoiding the “hassle” of legal ownership, he had handed over the keys to his entire business.
Desperate, Lars contacted our team to execute a rapid restructuring. We transferred the operational assets into a new 100% foreign-owned PT PMA and secured the necessary environmental permits (UKL-UPL).
Within three months, Lars had his own corporate NIB, full access to the digital quota system, and total control over his revenue, finally enjoying the humid, salty breeze of Flores without the suffocating weight of legal uncertainty.
Navigating Komodo and Raja Ampat Quotas
The days of unlimited access to Indonesia’s premier marine parks are over. As of 2026, Komodo National Park enforces a strict daily cap managed through digital platforms like the SiORA app. For a foreign operator, this means your business license must be integrated into these booking systems. You cannot buy tickets as a “tourist” for your clients; you must book them as a registered operator.
Raja Ampat is following suit with tightened entry permits (PIN) for liveaboards and resorts. These quotas are often allocated based on the operator’s compliance track record. A company with clean environmental reports and proper tax filings gets priority. If your company is flagged for reef damage or administrative negligence, you could be blacklisted from the booking portal.
Key Risks: Environmental and Compliance Pitfalls
Eastern Indonesia is not Bali; the scrutiny on environmental impact is far more intense. The most common pitfall for a PT PMA Tourism Indonesia investor is underestimating the “Green” requirements.
Discharging untreated wastewater into the ocean or building too close to the shoreline can trigger a revocation of your location permit (PKKPR). In UNESCO heritage zones, these violations are treated as criminal offenses.
Another major risk is the expatriate ratio. While you can employ foreign dive instructors or chefs, the Ministry of Manpower enforces a 1:5 ratio (one foreigner to five Indonesians) more strictly in developing regions to ensure local employment.
Failing to meet this, or having foreigners work on incorrect visa indices, can lead to deportation and a ban on hiring future expats.
Fees and Timelines for 2026
Budgeting for your corporate setup requires foresight. The initial costs typically range between IDR 40 to 70 million.
This includes notary fees, government (PNBP) fees, and environmental assessments. However, in Eastern Indonesia, allow for an additional “logistics buffer” of IDR 10-20 million for regional inspections, as officials may need to travel to your remote site for verification.
Timeline-wise, patience is a virtue. While the deed and NIB can be ready in weeks, the full operational licensing (TDUP verification) in regions like NTT or Papua can take 2 to 4 months.
Factors like the “adat” (local custom) negotiations for land use can also add unpredictable delays. Do not market your opening date until your Standard Certificate is “Verified” in the OSS system.
FAQs about Tourism Investment
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Can I open a small homestay in Raja Ampat with a PT PMA?
Generally, no. Small homestays with fewer than 10 rooms are reserved for local cooperatives. A PT PMA Tourism Indonesia entity typically targets the "Star Hotel" or "Villa" classification which requires higher capital and standards.
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Do I need a local partner for a dive center in Labuan Bajo?
Under the current Positive Investment List, dive tourism is open to 100% foreign ownership. You do not strictly need a local shareholder, though a local community liaison is highly recommended for smooth operations.
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What happens if I don't reach the IDR 10 billion investment requirement?
If you fail to report progress toward this target in your quarterly LKPM, the BKPM can issue warnings, downgrade your business license, or even revoke your investment approval.
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Can a PT PMA own land in Eastern Indonesia?
A PT PMA cannot own Freehold (Hak Milik) land. However, it can hold Right to Build (HGB) or Right to Use (Hak Pakai) titles, which are secure, insurable, and valid for decades.
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Is the environmental permit (AMDAL) mandatory for all tourism projects?
Not all. AMDAL is for high-impact or large-scale projects. Smaller resorts typically require a UKL-UPL, which is a less complex environmental management statement.
