Footage shows the terrifying moment a tourist boat carrying 89 people capsized off the coast of Bali.

The boat had just set off from Lembongan Village, on the island of Nusa Lembongan, at about 4.30pm on Wednesday when it was hit by a wave.

It's understood the wave struck the boat from behind, causing it to take on water.

The 125-seat vessel, known as The Tanis, began sinking shortly after loading its passengers.

The group were headed to Sanur, roughly a 30-minute trip.