Eyewitness — DENPASAR
Bali Governor Wayan Koster highlighted the achievements and challenges facing Bali’s tourism sector during the Regional Development Coordination Meeting held at the Wiswa Sabha Utama Building, Bali Governor’s Office, Denpasar, on Monday (July 20).
Throughout 2025, total tourist arrivals in Bali reached 16.3 million, comprising 7.05 million foreign tourists and approximately 9.3 million domestic travelers. This figure is nearly four times the island’s population of roughly 4.5 million residents.
According to Koster, Bali remains Indonesia’s flagship destination for foreign travelers, accounting for 45.8 percent of total national arrivals. Average spending for international visitors reached USD 1,522 per trip, driving the economic turnover of Bali’s tourism sector to an estimated Rp176 trillion in 2025—representing nearly 50 percent of the national tourism contribution.
This strong performance in tourism has bolstered Bali’s broader economic indicators. Economic growth reached 5.82 percent, the poverty rate dropped to 3.42 percent—the lowest in Indonesia—unemployment stood at 1.45 percent, and per capita income continued its upward trend.
However, Koster warned that intense tourism activity also poses critical challenges that require immediate attention. Land conversion, rising waste volume, ecosystem disruption, threats to clean water supplies, and severe traffic congestion have emerged as pressing issues demanding an integrated solution.
”Our infrastructure and public services have not fully kept pace with the increase in activity.
Traffic congestion remains a major concern,” Koster said.
To address these challenges, the Bali Provincial Government has outlined several strategic measures. These include reinforcing source-based waste management at the household level, ensuring clean water supply in vulnerable regions such as Karangasem and Jembrana, developing gas-fired power plants to strengthen energy security, encouraging organic farming, and accelerating road infrastructure projects to improve regional connectivity.
Additionally, the administration is promoting maritime logistics routes spanning from Ketapang–Gilimanuk to Karangasem. This initiative aims to alleviate land traffic congestion, which typically spikes during peak holiday seasons and religious celebrations.
”If traffic congestion is not tackled promptly, Bali risks a decline in destination quality and tourism competitiveness. Therefore, expanding infrastructure capacity must be a priority to ensure tourism growth develops in harmony with environmental sustainability and community welfare,” Koster emphasized.
Reporter: Daniel Herry
