Foreign Investment Policy in Traditional Village-Based Tourism Development in Bali Province

Abstract

Development in the tourism sector requires enormous funds, sourced from government, private, public and foreign investors funds. Indonesia as a developing country often experiences funding difficulties in the implementation of development due to limited funding sources. The government needs to formulate policies in the form of legislation as well as reform of the bureaucracy so that it is able to provide optimal public services and attract foreign investment in order to accelerate the implementation of development in the context of realizing national goals, namely the welfare of the community. In general, the regulations regarding investment including foreign investment have been regulated in Law Number 25 of 2007 concerning investment, Presidential Regulation Number 27 of 2009 concerning One Stop Integrated Services and Regulation of the Head of the Investment Coordinating Board Number 14 of 2015 concerning Procedures and Principles. Investment and Law Number 23 of 2014 concerning Regional Government. Tourism development in Bali is very fast with the construction of various types of tourism facilities, and in the future, to avoid burnout, it is necessary to develop alternative tourism such as Tourism Village. The stipulation of the Bali Provincial Regulation Number 4 of 2019 concerning Traditional Villages confirms that Traditional Villages can manage tourism villages. The involvement of foreign investment in developing tourism based on traditional villages is very possible, so the Regional Government needs to work together with Regency / City Governments and Traditional Villages based on their position and authority can stipulate regulations to ensure legal certainty for investors and the public by continuing to be based on the principles of good governance.