A visa programme named “Golden Visa” has been launched by the Indonesian government to attract foreign investors. The Golden Visa refers to a long-term visa programme of up to 10 years. Investors need to invest a minimum amount ranging from $350,000 to $50 million. The initiative aims to draw significant investments to help strengthen Southeast Asia’s largest economy. Nearly 300 applicants have been granted visas since last year’s trial phase, earning $123 million in investments.
There are two main visa options for investors under the new “Golden Visa” scheme: a five-year visa and a ten-year visa. Individual investors must establish a company worth at least $2.5 million to acquire a five-year visa under this scheme. As for a ten-year visa, an investment of $5 million is a must. Individuals who are not considering setting up a company can obtain a five-year permit by investing $350,000 or a ten-year permit with a $700,000 investment. These funds can be directed towards Indonesian government bonds, public company stocks, or placed as deposits.
Criteria for corporate investors vary from the above. If companies are looking to secure five-year visas for their directors and commissioners, they must invest $25 million. A $50 million investment is required to obtain ten-year visas. However, the requirements are reduced to $5 million for a five-year visa and $10 million for a ten-year visa if investments are made in Indonesia’s new $32 billion capital city, which is currently under construction in Borneo’s jungles.
Although several other countries have initiated similar investment visa programs, others, like Canada, Britain, and Singapore, have recently discontinued these schemes as they have concluded that such visas do not necessarily create jobs and may be used for uncertain purposes.
“We’re launching the golden visa to make it easier for foreign nationals to invest and contribute in Indonesia,” stated President Joko Widodo, also known as Jokowi. He further emphasised that the visa is aimed at attracting “good quality travellers.”
“Since the trial phase began last year, the country has granted golden visas to nearly 300 applicants, bringing in $123 million in investments.”, the head of Indonesia’s immigration agency, Silmy Karim told Reuters. Karim further opened up that Indonesian authorities are considering granting a special status to foreign nationals of Indonesian descent. The ideal program behind this initiative is India’s Overseas Citizenship of India (OCI) program, which permits individuals of Indian ancestry to live, work, and travel in India indefinitely. The special status could be available as soon as October.
The proposal to grant special status to foreign nationals of Indonesian descent responds to rising demands for Indonesia to allow dual citizenship, thereby improving global mobility and reinforcing ties to their ancestral homeland.
