The National Economic Council (DEN), led by Luhut Binsar Pandjaitan, has put forward a plan to develop a Family Office and Financial Centre Special Economic Zone (SEZ) in Bali.
The project aims to attract foreign investment and position Indonesia as a gateway for global capital to flow into the country’s real sectors.
According to Luhut, the initiative mirrors successful models in international financial hubs such as Abu Dhabi, Dubai, Hong Kong, and Singapore.
He emphasised that investors would also have the chance to become co-investors alongside the Indonesian Investment Management Agency, known as BPI Daya Anagata Nusantara (Danantara), and the Indonesia Investment Authority (INA).
DEN views Bali as a strong candidate for the project. The island’s reputation as a “work haven” for global investors, combined with its international profile, makes it an attractive option. In DEN’s assessment, this could help strengthen Indonesia’s economic competitiveness on the global stage.
Family offices, by definition, are financial services structures set up to manage the wealth of ultra-high-net-worth individuals or major investors.
The aim is to provide a platform that channels their funds into local investment opportunities. For DEN, Bali is seen as an opportunity to position Indonesia in the same league as other global financial centres.
Finance Minister Cautious Over Budget Allocation
Despite DEN’s enthusiasm, Finance Minister Purbaya Yudhi Sadewa has taken a cautious stance. He confirmed that the Ministry of Finance would not allocate state budget (APBN) funds for the Bali Financial Centre or family office initiative.
“Oh, I’ve heard about that issue (family office) for a long time, but let it be. If DEN can build it itself, then just build it yourself. I won’t divert the budget there,” Purbaya told BeritaSatu.
He explained that his ministry’s priority is ensuring that state spending is properly implemented, on schedule, targeted and free from misuse. Purbaya added in a light-hearted tone, “I’m not involved. If you want, I’ll just pray for you.”
The Finance Minister also admitted he does not fully understand the family office concept as proposed by DEN. “Although Luhut often raises the idea, I’ve never seen its concrete form or concept,” he said.
As reported by DetikFinance, Purbaya stressed that without a detailed draft or clear proposal, he could not consider financial backing from the state budget. He reiterated that every rupiah of public funds must be justified, transparent, and used for projects that directly benefit the population.
His broader focus remains on ensuring the state budget functions effectively for public welfare. Any proposed project requiring government funding, he noted, would need to undergo thorough scrutiny before approval.
For now, DEN continues to promote the family office idea, while the Ministry of Finance maintains a stance of caution. The outcome will likely depend on whether the project can provide a clear framework and demonstrate long-term benefits for the Indonesian economy.
