President Joko Widodo officially launched this project
On July 25, President Joko Widodo (Jokowi) officially unveiled the Golden Visa facility, inviting international citizens to contribute capital towards Indonesia’s development by travelling and investing abroad. This initiative aims to attract high-calibre travellers and investors, positioning Indonesia as an investment haven and second home for global talent and world figures.
Legal Foundations and Benefits
The launch and implementation of the Golden Visa are rooted in two regulations issued by Law and Human Rights Minister No. 22 of 2023 concerning visas and residence permits, as well as Finance Minister Regulation No. 82 on non-state revenue associated with it.
This visa provides numerous advantages, such as a five- to ten-year residence permit valid at international airports, priority immigration services, and no need for an ITASC (initial temporary admission and stay permit) permit. This facility targets individual investors, corporate investors, former Indonesian citizens and their descendants, talented global individuals, and prominent global figures.
Strengthen Indonesia’s Strategic Position
Yasonna Laoly, Minister of Law and Human Rights in Indonesia noted that the Golden Visa policy strengthens Indonesia’s international position by encouraging more people to contribute to its development. Formulated by the Director General of Immigration, this initiative aims to provide greater convenience for foreigners residing in Indonesia.
Laoly noted that this visa facility provides business actors and investors with a new hope for comfort and certainty when investing in Indonesia. He stressed its key benefits, such as capital gains, job opportunities, technology transfer and strengthening national human resources.
Initial Success and Long-Term Prospects of Innovation(r).
As of its launch date, the Golden Visa has already been issued to 300 foreign nationals, bringing approximately Rp2 trillion (US$123.5 million) in investment capital. “These figures will undoubtedly continue to increase,” stated Silmy Karim, Director General of Immigration.
Golden Visa applicants must commit to investing capital in Indonesia through developing companies, purchasing investment instruments, purchasing real estate or placing funds with state-owned banks. The required investment amount varies based on each applicant’s profile and intentions.
Individual investors applying for a five-year residence permit must invest at least US$2.5 million when creating a new company, while corporate representatives need to invest US$50 million over ten years; for individuals not creating new companies, the investment requirements are US$350,000 per five-year residence permit and double this figure when investing for 10-year residency permits.
Government Commitments and Precautions
Indonesia’s government plans to grant Golden Visas to 1000 individuals this year. President Jokowi stressed the need for proper management and an issuance mechanism with strict criteria to prevent economic or social complications that might arise, stating that only reliable travellers would receive this privilege.
The government collaborates with Interpol and an anti-money laundering body to assess eligibility. The Immigration Directorate General then monitors visa holders during their stay. Karim confirmed that visas would be revoked if any violation occurred or investment-related issues arose during this process.
Ensuring Significant Benefits
This comprehensive working mechanism ensures the Golden Visa will truly benefit Indonesia. Utilizing experts in intelligence and surveillance, the Immigration Directorate General will closely track visa holders – reinforcing Indonesia’s commitment to reaping the rewards of this initiative while safeguarding national security.
