Bali High-Finance: Prabowo’s Family Office Approval Aims to Lock In Billions in Middle East Wealth

JAKARTA, Investortrust.id — Indonesia is pulling out all the stops to position Bali as a premier playground for global billionaires and offshore wealth. President Prabowo Subianto has officially greenlighted an aggressive plan to establish a sovereign "Family Office" framework, designed to lock in billions of dollars in idle global capital.

The market-moving revelation came directly from Luhut Binsar Pandjaitan, the Chairman of the National Economic Advisory Council (DEN). Speaking at a high-level economic discussion with the ASEAN+3 Macroeconomic Research Office (AMRO) in Jakarta on Monday, May 25, 2026, Pandjaitan confirmed that the executive branch is fully aligned on the wealth play. The specialized ecosystem will be anchored within a brand-new International Financial Center inside a Financial Special Economic Zone (SEZ) in Bali.

"So, the President also agreed with the formation of the International Financial Center, family office," Pandjaitan stated during his ministerial presentation. He further revealed that the draft regulations governing the offshore wealth hub will land in parliament for debate by the end of this month.

For global fund managers, family offices, and sovereign wealth entities, Indonesia's sudden push into the cross-border wealth management space alters the Southeast Asian financial landscape. By attempting to replicate the low-tax, high-security ecosystems of Singapore and Dubai, Jakarta is weaponizing the tropical appeal of Bali to capture shifting capital pools driven by global geopolitical friction. If successful, the influx of sticky institutional capital will significantly deepen Indonesia's domestic capital markets and provide a massive alternative funding source for national infrastructure.

The strategic priority of the initiative centers on tapping the immense financial fire power of the Gulf states. To ensure world-class execution, Pandjaitan has already coordinated with Rosan Roeslani, the Minister of Investment and Downstream Development and CEO of Danantara, to recruit a senior high-finance figure from the United Kingdom to serve as a chief advisor.

"We do not expect to get $100 billion to $200 billion overnight, but if they want to place a portion of their funds here, it will give credibility and trust for Indonesia," Pandjaitan emphasized during the AMRO forum, underscoring the long-term institutional play.

The institutional scaffolding behind the Bali Financial SEZ has been quietly accelerating behind closed doors since April 2026. Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed that intense negotiations are currently underway with elite international financial partners to hammer out a competitive incentive package.

"We are preparing the regulations and also seeing how far those regulations can accommodate what is requested for the establishment of a financial center or family office," Hartarto stated at the Indonesia Stock Exchange (IDX) on Monday, April 27, 2026. While Hartarto noted the implementation will take time to iron out fiscal incentives like tax holidays, he heavily hinted that BPI Danantara, Indonesia’s newly minted sovereign super-holding fund, could take a direct operational role in managing the incoming billions.