Country Profile:

Situated in Southeast Asia, Indonesia is a nation consisting of thousands of islands. The country boasts a mixed economy where both the private sector and government play pivotal roles. As the sole G20 member state in Southeast Asia, Indonesia holds the largest economy in the region and is recognized as a newly industrialized country.

Capital: Jakarta

Population: 279,118,866 (2023Q2，4th)

Ethic Group: Over 1,300 ethnic groups

Area: 1,904,569 km²  (14th)

Offical Language: Indonesian

Currency: Indonesian rupiah (Rp) (IDR)

GDP per Captial: $15,835 (98th)

How To Immigrate To Indonesia:

For foreign individuals, Indonesia provides various options for extended stay and relocation, which include golden visa,  investor visas, retirement visas, and the second home program.

Golden Visa:

On August 30, 2023, the Indonesian government officially launched a brand new “Golden Visa” program to attract foreign investors. The minimum economic requirement for the visa is 350,000 US dollars, and investors can obtain a visa valid for either 5 or 10 years, which is renewable.

The Indonesian Golden Visa is divided into two main categories: personal investment and business operations.

For individual investors, if they invest more than 350,000 US dollars in local company shares, deposits, financial projects, or government bonds, they can obtain a 5-year Indonesian Golden Visa. If the investment amount exceeds 700,000 US dollars, they can obtain a 10-year Golden Visa.

For foreign investors who set up companies for business operations locally, the economic requirement for a 5-year Golden Visa is 2.5 million US dollars, while the requirement for a 10-year visa is 5 million US dollars.

If a company invests more than 25 million US dollars in Indonesia, the directors and managers of the company can obtain a local 5-year visa. If the investment exceeds 50 million US dollars, the management can get a 10-year visa.

In addition, there is another Golden Visa option issued to individuals with an international reputation who can benefit Indonesia.

The first recipient of the Indonesian Golden Visa is the president of Open AI, Sam Altman.

Details about the visa will be updated once the program stabilizes.

Retirement Visa:

The Indonesian retirement visa KITAS program is only open to 54 countries and regions worldwide. Applicants must from those specific areas below, be at least 60, prove an income of $3,000 per month.

Applicants must also provide proof of local residence. If purchasing a house, the price must not be less than $35,000. If renting, the price must reach a certain level, which varies by region. In Jakarta, Bandung, and Bali, it must not be less than $500 per month. In Java, Batam Island, and Medan, it must not be less than $300 per month. In other regions, it should not be less than $200 per month. The rental lease must not be less than one year.

Visa applicants must also declare they will employ a local driver or guide.

There are two kinds of KITAS: the 1-year Retirement KITAS, and the 5-year Retirement KITAS, the former one can be renewed for up to 5 years. After 5 years of legal residing with a retirement visa, you become eligible for a permanent residence permit, known as KITAP.

For applying for 1-year Retirement KITAS, you must hire a local travel agency to act as your sponsor. The agencies which can act as sponsors are appointed by the Tourism Department and the Directorate General of Immigration of Indonesia.

For applying for 5-year Retirement KITAS, you must comply with a statement of committing to save funds in an account at a state-owned bank worth at least $50,000 or equivalent value.

The application process can be done online after 2023, you can apply for it through the new Indonesia online gateway, you can also let the hired agency submit application on your behalf at the Indonesian immigration authorities These companies will be informed about what kind of documents you have to submit and how to get them, how to lease an apartment, where to get health insurance, etc. After the Immigration Department of Indonesia approves your Retirement Visa application, they will issue a written confirmation. You have to send this confirmation to the Embassy or Consulate of Indonesia which has jurisdiction over the area you live in. And then ,you must make an appointment, collect and submit all required documents, pay the visa fee etc. Once they have a decision, you should go back to pick up your passport and documents. If you applied by mail, the Embassy/Consulate will mail them to you.

The next step is travel to Indonesia to apply for a residency permit, Once you arrive in Indonesia using your entry visa, you have to go to the Immigration Office so that you can turn your visa into a Temporary Residence Permit (KITAS). The KITAS is the residence card that shows your temporary immigration status in Indonesia and it replaces the visa you received at the Embassy/Consulate.

Your agency should be able to help you during the process of obtaining your KITAS as well, but you still have to appear to the Immigration Department Office in person to get your picture and fingerprints taken.

Your partner and dependent child under 18 can apply for a dependent visa KITAS to live in Indonesia with you.

Second Home Program:

After several years of preparation, the Indonesian government launched a digital nomad visa program called “Second Home Visa” in December 2022. Currently, the operation of this visa appears to be more akin to a passive income visa rather than a digital nomad program.

The Second Home Visa program requires applicants to have good physical health, a clean criminal record, and purchase medical insurance. Additionally, they must prove that they have a bank deposit of at least 2 billion Indonesian Rupiah (approximately 140,000 US dollars) in a local Indonesian bank, with no specific monthly income requirements.

The necessary documents for the application include a passport valid for at least 36 months, passport-sized photos, proof of bank deposit, and a personal resume, among others.

The Second Home Visa program allows online applications (the website link is provided on the official website) with an application fee of 210 US dollars, and the entire visa processing period takes only 4 working days.

Investor Visa:

Indonesia offers a 1-year or 2-year investment visa application channel for foreigners who intend to invest a certain amount of capital in Indonesia or have already done so. The visa can be renewed indefinitely, and there is no minimum investment amount specified; it is subjectively determined by the Indonesian government. The key challenge in obtaining this visa lies in obtaining a letter of recommendation from the Indonesian Investment Coordinating Board.

Required documents include proof of a bank deposit of at least 2000 USD, two passport-sized photos (4 cm × 6 cm) with a white background, a passport valid for 30 months (or 18 months if applying for a 1-year visa), a letter of recommendation from the Investment Coordinating Board, and a certificate of COVID-19 vaccination.

The entire visa processing takes only 4 working days, and the visa fee is 200,000 Indonesian Rupiah, with the same amount for the residence permit fee.

For more detailed information, please refer to: https://www.imigrasi.go.id/en/visa-tinggal-terbatas-penanaman-modal-asing-satu-tahun-c313/

Taxation:

In Indonesia, the individual income tax operates on a progressive scale. It is levied at 5% for incomes below 50 million Indonesian Rupiah, 15% for incomes between 50 million and 250 million Indonesian Rupiah, and 25% for incomes between 250 million and 500 million Indonesian Rupiah. Any income exceeding 500 million Indonesian Rupiah is subject to a 35% tax rate.

Additionally, capital gains tax is set at 15%, land gains tax at 10%, and the standard corporate income tax rate is 25%. Furthermore, there is a value-added tax of 10% and a luxury goods tax ranging from 10% to 125%.

Naturalizaton:

The long-term residence visa in Indonesia allows the primary applicant, along with their spouse and children under 17 years old, to enter the country together as dependents.

After legally residing in the country for a minimum of 5 years, foreign nationals can apply for permanent residency in Indonesia. Individuals wishing to apply for an Indonesian passport based on a residence permit must have resided in the country continuously for a minimum of five years. Additionally, those who have spent a cumulative total of 10 years in Indonesia, even if not consecutively, are also eligible. allowed to apply for Indonesian citizenship.

Passport Power:

Indonesia does not recognize dual citizenship. Passport holders can enjoy visa-free or visa-on-arrival access to 71 countries and regions worldwide, including Japan, Southeast Asia, and East Africa.

Useful Links:

Indonesia Directorate General of Immigration：https://www.imigrasi.go.id/en/

Indonesia Visa Online Platform：https://visa-online.imigrasi.go.id/

Indonesia Investment Coordinating Board：https://www.bkpm.go.id/en/home