Indonesia Is Turning Bali Kura Kura KEK Into an AI, Chip & Quantum Hub

Indonesia Directs Bali Special Economic Zone Toward AI, Semiconductors and Quantum Technology

Indonesia plans to develop artificial intelligence, semiconductors and quantum technology at the Kura-Kura Bali Special Economic Zone, according to the National SEZ Council.

Ali Murtopo Simbolon, the council’s acting Secretary General, said on 11 October 2026 that the zone would support AI development, digital research and development, semiconductors and quantum technology, and was intended to connect academic institutions with industry. The Tsinghua Southeast Asia Center was named as a potential bridge between China, Southeast Asia and global markets, though no agreement between the institution and the zone’s operator has been announced.

The China framework

The plan sits within the Two Countries Twin Parks scheme, a bilateral industrial cooperation framework between Indonesia and China. The National SEZ Council has described Kura-Kura Bali as a strategic platform for strengthening industrial and technology collaboration between the two countries.

Chinese firms already hold a significant position across Indonesia’s special economic zones. As of the second quarter of 2026, 97 of 481 tenants nationwide, roughly 20 percent, were Chinese companies.

The zone

KEK Kura-Kura Bali covers 498 hectares and is developed by PT Bali Turtle Island Development, with Tuti Hadiputranto as President Director and Tantowi Yahya as President Commissioner.

Physical construction has reached approximately 15 percent of the planned area. Realized investment through the second quarter of 2026 stood at Rp 1.80 trillion from three business actors, absorbing about 5,316 workers. Total development spending since the zone’s proposal process began reached Rp 2.85 trillion.

The zone operates under a 2025-2029 master plan covering 19 projects across trade, marina, housing, education, tourism facilities and creative industry. Announced developments include the Sira Village Grand Outlet Bali, a marina with capacity for up to 140 yachts, the Azure Residence housing project, and a Knowledge District scheduled to begin construction in 2027.

The zone was originally designated for tourism and the creative economy. The technology focus represents an expansion of that mandate.

National context

Indonesia operates 25 special economic zones covering 23,797.88 hectares. Cumulative investment across all zones has reached approximately USD 20.7 billion, with 481 business entities and more than 283,000 jobs.

No investment figure, tenant list or timeline specific to the technology initiative at Kura-Kura Bali has been announced.

Recent scrutiny

In May 2026, the Kura-Kura Bali development was sealed by authorities following mangrove clearing at the site. Environmental reporting at the time raised concerns about the impact of special economic zone development on Bali’s mangrove ecosystem.

What remains unknown

Several elements of the technology plan have not been disclosed: which companies would operate in the zone, how much capital is committed, what infrastructure, particularly power and data connectivity, would support semiconductor or AI facilities, and over what period development would occur.

The announcement establishes policy direction rather than committed investment.

Sources: Jawa Pos · Dewan Nasional KEK · JPNN · Gatra Dewata · Kompas · Mongabay Indonesia