September 16, 2025
JAKARTA – Bali suffered significant economic losses after severe flooding on Wednesday, an event authorities and residents described as the worst in years.
According to the Bali Disaster Mitigation Agency (BNPB), the torrential rains on Tuesday and Wednesday triggered floods and landslides in Denpasar and six of Bali’s eight regencies, including Gianyar, Tabanan and Badung, killing 17 people and prompting the province to declare a week-long state of emergency.
The agency estimated that total economic losses from damage to public facilities and buildings could reach Rp 28.9 billion as of Friday.
This includes the destruction of 474 kiosks and shophouses on Sulawesi Street and at Kumbasari Market, valued at Rp 25.5 billion, damage to 29 buildings in Tabanan worth Rp 3.1 billion and additional losses from destroyed buildings in Bangli. Losses from other regencies have yet to be determined.
The Bali chapter of the Indonesian Hotel and Restaurant Association (PHRI) reported that the flooding had hit small villas, especially those in Badung regency, calling it “the first time” Bali has been impacted by a flood this severe.
The deadly disaster prompted President Prabowo Subianto to visit the tourism-focused island on Saturday.
He inspected residential areas in Denpasar, one of the hardest-hit regions, walking through mud-covered alleys in Gerenceng and speaking with locals who recounted how the nearby Badung River rapidly overflowed into their homes.
“We will help you with everything,” Prabowo told one resident whose house was damaged, as quoted by the Presidential Secretariat’s YouTube channel.
He added that aid distribution and flood relief measures were already underway and pledged that the government would prioritize long-term efforts to improve disaster preparedness and prevent future deadly floods in Bali.
Prabowo flew to Bali on Friday after concluding his trip to Qatar and the United Arab Emirates (UAE), where he held bilateral meetings to discuss tensions in the Middle East.
Although floodwaters have receded in some areas, BNPB and local rescuers were still searching for five people reported missing as of Sunday.
Read also: At least nine killed, two missing in Bali’s worst flooding in years
Environmentalists have blamed the deadly floods on overtourism and overdevelopment.
“Environmental degradation, particularly the conversion of agricultural land into buildings, has made Bali more vulnerable to disasters,” Walhi Bali office director Made Krisna Dinata told The Jakarta Post on Friday.
Citing Walhi’s data from 2018 to 2023, Krisna said land conversion rates in farmland across Tabanan, Badung, Gianyar and Denpasar ranged between 3 and 6 percent each year. The highest number of land conversions occurred in Tabanan, Bali’s largest rice producer, where more than 2,600 hectares of farmland were converted for non-agricultural purposes between 2018 and 2023.
Badung followed with around 1,100 ha converted. The regency is home to many of Bali’s most popular tourist districts, including Kuta, Canggu, Seminyak and Nusa Dua.
I Made Iwan Dewantama of the environmental group Abdi Bumi Foundation criticized the rampant construction of villas, hotels and houses near river buffer zones. “When the buffer zones practically no longer exist, water flows anywhere else,” he said.
Bali Governor I Wayan Koster initially rejected the idea that the heavy flooding was caused by land conversion, noting that the disaster had severely affected Denpasar city, while most land-use changes had occurred in Badung and Gianyar.
However, after a coordination meeting with the central government on Saturday, he shifted his tone, announcing that there would be no further conversion of productive land for commercial facilities starting this year.
“We have instructed all regents, and after handling this flood, we will meet again to ensure that no more permits are issued for hotels, restaurants or other facilities that use productive land, especially paddy fields,” Koster said.
Environment Minister Hanif Faisol Nurofiq also stated that land conversion is a major cause of low reservoir capacity along river flows, which increases the risk of disasters.
“We must all strictly monitor unnecessary land conversion, such as the construction of villas and accommodations that disrupt water absorption,” Hanif said after the same meeting.
Read also: Bali continues agriculture push on shaky ground
Wider impact
Recurring floods risk slowing Bali’s long-term economic growth, economics expert I Made Sara from Warmadewa University told the Post on Friday, noting that restoration costs could strain the regional budget.
He added that the floods could also diminish Bali’s tourism competitiveness and increase poverty levels, as mounting losses across multiple sectors might deepen social vulnerabilities.
Ida Bagus Raka Suardana, an economist at Denpasar’s National Education University (Undiknas), said Bali’s tourism industry was “very sensitive” to disasters, which can lead to hotel booking cancellations, travel disruptions and declining tourist visits.
Tourism disruptions could translate into billions of rupiah in lost daily income, he said, citing Tourism Ministry data showing that international tourists spent an average of US$1,500 per visit in 2024.
“People who rely on this sector, such as hotel workers, guides, drivers and small merchants, are directly impacted by reduced daily income, adding to the vulnerability of household economies,” he said.
To mitigate the impact of future floods, Suardana emphasized the need to curb uncontrolled land conversion and invest in green infrastructure by building modern drainage systems, small reservoirs and revitalizing Bali’s traditional subak irrigation network.
“The government can also develop disaster risk financing, such as disaster insurance, to protect micro, small and medium enterprises (MSMEs) in the tourism sector,” he concluded.