In an attempt to support foreign investment by clarifying land rights for foreigners in Bali, around sixty regional and local members of the Indonesian Notary Association (INI) and the Association of Land Deed Officials (IPPAT) as well as representatives from the Association of Advocates in Bali participated in a group discussion recently according to Bali Berkarya.

Foreign ownership of property and land in Bali is a subject that is discussed widely on social media with varying degrees of truth and clarity said the focus group. Their aim was to come to a consensus on how best to "socialize the provisions of legislation on land rights for foreigners and discuss matters that have not yet been regulated."  

The main issue discussed, say Antara was geared around existing regulations, in particular Government Regulation No. 103/2015, which grants foreigners land rights using Hak Pakai (the right to use) for a period of 80 years.

This has been in affect since 2015 but there is still some confusion and misinterpretation. The forum said that if this regulation were correctly socialized and implemented then the controversial "nominee" system, so popular in Bali until very recently, would not be used any more.

The group admitted there were weaknesses in non-compliance with Government Regulation No. 103/2015 and as long as it remains a grey area distrust will continue and this will have negative impacts on foreign investments.

It is the intention of the Notaries, Land Deed officials and Advocates in Bali, therefore, to better inform foreign clients of their legal rights under this regulation and to better enforce its rulings.

Sources: Antara News, Bali Berkarya, Indonesia Investments

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