PBG Permit in Bali Explained: What Foreigners Need to Build Legally

Updated June 2026

To build a villa legally in Bali you need a PBG (Persetujuan Bangunan Gedung), the building approval that replaced the old IMB. It confirms your design meets building standards before construction, and after completion you also need an SLF (certificate that the building is fit for use). Foreigners can build, but the permit is tied to the land and the rights you hold over it, so the paperwork has to be correct from the start.

Here is what that means in practice.

PBG vs the old IMB

The IMB was the older building permit. Indonesia replaced it with the PBG, which is approved based on your building's technical drawings and compliance, rather than as a general construction license. In practice you still need formal approval before you build. The key change is that the design has to meet the standards up front.

What you need in place

• Land rights that allow building (freehold or a proper leasehold structure). This is the foundation of everything.
• Technical drawings and a design that complies with the standards, which is what the PBG is assessed on.
• A contractor and consultants who prepare and submit the documents correctly.
• SLF after construction, confirming the building is fit for use.

Why this protects you

A villa built without proper permits is a risk to your money and your resale. Buyers and rental platforms increasingly ask for compliance. Getting the PBG and SLF right is part of protecting the asset, not red tape to avoid. It is also part of building efficiently: doing it correctly once is cheaper than fixing a non-compliant build later.

How we help

We are a licensed PT contractor and we help arrange the PBG as part of the project, working from compliant drawings produced in the design stage. See our general contractor in Bali page.

FAQ

What is a PBG permit in Bali? The PBG (Persetujuan Bangunan Gedung) is the building approval that replaced the IMB. It is assessed on your design's compliance with building standards before you build.

Can foreigners build a villa in Bali? Yes, but it depends on the land rights you hold. The permit and the build are tied to the rights over the land, so the legal structure has to be correct.

What is an SLF? The SLF is the certificate confirming a completed building is fit for use, issued after construction.

Next step

If you are planning to build, we can walk you through the permit path and the rest of the process in a short meeting. Message us on WhatsApp.