On Thursday, President Joko Widodo announced the introduction of a long-term visa scheme aimed at drawing foreign investors to Indonesia. This scheme offers visas up to 10 years for investments of up to $10 million, granting access to Southeast Asia's largest economy.
The 'Golden Visa' program stipulates that individual investors must establish a company valued at $2.5 million for a five-year visa, while a $5 million investment is required for a ten-year visa. Those not establishing a company must invest $350,000 for a five-year permit and $700,000 for a ten-year permit, with these funds eligible for investment in Indonesian government bonds, public company stocks, or deposits.
Corporate investors need to invest $25 million for five-year visas for directors and commissioners, and $50 million for ten-year visas. Special provisions apply for investments in the new $32 billion capital city being constructed on Borneo island, where $5 million secures a five-year visa and $10 million a ten-year visa, according to the immigration agency.
While several countries offer similar investment visa schemes, others like Canada, Britain, and Singapore have discontinued theirs, citing lack of job creation and potential for speculative money parking. President Widodo, commonly known as Jokowi, emphasized that the visa aims to attract 'good quality travelers' to facilitate investment and contributions in Indonesia.
The immigration agency's chief, Silmy Karim, revealed that nearly 300 golden visas have been issued since the pilot phase began last year, attracting $123 million. Additionally, discussions are underway to introduce a special status for foreign nationals of Indonesian descent, inspired by India's Overseas Citizenship of India (OCI), which could be implemented by October.
