Bali's Canggu Sees Land Price Surge and Growing Friction Between Locals and Foreign Long-Term Residents

Canggu, on Bali's southwest coast, is one of the most popular destinations for digital nomads. Trendy restaurants, yoga studios, and co-working spaces now line streets that bear little resemblance to the fishing village it once was. Construction is underway everywhere, with cranes and excavators reshaping the landscape, and rice paddies disappearing with each new project.

The influx of long-term foreign residents—mainly from Europe, Russia, and Australia—has fueled growing resentment among local residents. One local hotel employee said, "Everything has changed in just a few years. Our nature, the landscape we loved, is disappearing as land is sold off to wealthy investors."

The transformation began gradually but accelerated rapidly about a decade ago, turning a village of narrow alleys into one of the world's most famous digital nomad hubs—bringing traffic congestion, noise pollution, piles of garbage, and a construction boom. Foreign tourists riding rental scooters without helmets, sometimes carrying surfboards or dogs, have become a common sight, further fueling local frustration.

In July 2026, two Dutch nationals who ran an international running group called "Entourage Bali" in Canggu were banned from re-entering Indonesia by immigration authorities for operating events without the required permits. Allegations that an Indonesian woman was denied registration for the group's "Silent Disco Run" event while her foreign husband was registered without issue sparked strong local backlash and drew international media coverage.

Tourism analyst Hilda Ansaria Sabri has urged local governments to take a firmer stance when foreigners disregard local rules and traditions, while also warning of the risk that closed, foreigner-centric communities could push locals out of housing and employment opportunities in the long run.

Professor I Putu Anom of Udayana University, who specializes in tourism studies, emphasized that "earning substantial foreign currency means nothing if local residents can no longer live in peace." He pointed to soaring land and property prices as the most serious problem, making it increasingly difficult for many Balinese to build or buy homes in their own communities.