The Government of Indonesia has approved the long-delayed construction of the North Bali International Airport (BIBU), aiming to ease pressure on the overburdened Ngurah Rai International Airport and balance regional development in Bali. The project is approved, and all technical preparations are ready. The plan, first proposed in 2015, targets an annual passenger capacity of 50 million.

The project aims to address the development gap between northern and southern Bali. While areas like Denpasar and Badung attract the majority of tourists and investment, northern regions such as Buleleng remain underserved. Ngurah Rai Airport, operating near its 24 million passenger capacity, cannot expand further due to land limitations. During peak travel seasons, it handles up to 400 flights per day. To manage this and distribute economic activity, the government has included BIBU in the 2025–2029 National Medium-Term Development Plan (RPJMN). The proposed location spans a 900-hectare artificial island off Kubutambahan in Buleleng Regency. Plans also include a supporting toll road connecting to Mengwi and a rail link to Ngurah Rai Airport.

The airport project will be part of a broader urban development, including hotels, a convention centre, and a film zone named “Baliwood.” Further, the firm is awaiting the Ministry of Transportation’s final site determination. The runway is expected to be operational by 2027. However, as of July 2025, the transport ministry confirmed that no formal site approval has been issued yet.