TL;DR
Indonesia updated its standard business classification system through KBLI 2025.
The Facts
Indonesia updated its standard business classification system through KBLI 2025. The official conversion table published by Statistics Indonesia (BPS) recodes the previous villa classification, KBLI 55193 "Vila", to KBLI 55203 "Aktivitas Vila". The OSS portal also presents this as a one-to-one conversion.
The change is therefore real and officially documented. What it does not mean is that every existing villa licence automatically became invalid on the day KBLI 2025 was published. The practical transition depends on how the updated classification is implemented in OSS, the status of each operator's existing NIB and business licences, and any sector-specific or local requirements attached to the activity.
The Bali Villa Association has raised a related concern. Reporting by NusaBali says some villa operators have historically registered under classifications that do not match what they operate in practice, including hotel, real-estate or other accommodation codes. That issue is separate from the numerical recoding itself. A business whose licence has always reflected villa activity may face a different transition from an operator whose registered activity and daily operations do not align.
This distinction matters. KBLI identifies the business activity, but lawful operation can also depend on risk-based licensing, spatial conformity, building approvals, environmental requirements and sector-specific supporting licences. A correct KBLI code is necessary, but it is not a substitute for the rest of the licensing file.
Bali Zero Take
Our Analysis
For Bali villa owners and investors, KBLI 2025 is a useful trigger for a compliance review. The safest question is not simply, "Do I have an NIB?" It is, "Does my NIB and licensing package accurately describe the activity taking place at the property?"
A villa used only as a private residence presents a different legal profile from a property marketed and operated as short-stay accommodation. Likewise, a company registered for real-estate activity should not assume that the same classification automatically covers hospitality operations.
Foreign-invested companies should review the issue before an acquisition, expansion or licence amendment. The correct route depends on the company, the property, the operational model and the requirements shown in OSS. No operator should change its KBLI solely on the basis of a news article without checking the consequences with a qualified licensing adviser.
Next Steps
Action Items
Primary Source
Ask Zantara
AI-powered answers from our knowledge base
Exa: nusabali.com
Questions about how this applies to your case?
Bali Zero handles visas, company setup, tax and property compliance in Indonesia. Ask us directly on WhatsApp.
Chat with Bali Zero on WhatsApp