Indonesia launches ‘golden visa’ to lure foreign investors

Foreigners who make substantial investments can remain in Indonesia for between five and 10 years

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Nusantara, Indonesia’s new US$32 billion capital city, is being built in the jungles of Borneo island. Photo: AFP

Published: 2:34pm, 25 Jul 2024Updated: 3:13pm, 25 Jul 2024

Indonesia launched a long-term visa scheme on Thursday intended to attract foreign investors, President Joko Widodo said, with amounts of up to US$10 million giving them a 10-year visa and access to Southeast Asia’s largest economy.

The five-year “golden visa” requires individual investors to set up a company worth US$2.5 million, while a 10-year visa requires a US$5 million investment.

Individuals not looking to set up a company must place US$350,000 and US$700,000 to gain a 5-year and 10-year permit respectively, and the money can be used to buy Indonesian government bonds, public company stocks, or place deposits.

Corporate investors are required to invest US$25 million to get five-year visas for directors and commissioners. They need to invest US$50 million to gain a 10-year visa.

If the investment is made in the new US$32 billion capital city currently being built in the jungles of Borneo island, US$5 million will gain investors a 5-year visa and US$10 million a 10-year visa, the immigration agency said.

Several countries offer similar investment visa schemes, but others, including Canada, Britain and Singapore, have scrapped such schemes as governments conclude they do not create jobs and could be a means to park speculative money.