There are particular visa policies or golden visas issued by many countries to attract foreign investors, including visa durations of 5 to 10 years for residence permits. However, until now Indonesia is one of the countries that have yet to adopt this policy. So, is it necessary for Indonesia to take part in the golden visa policy?

Regarding this matter, the Dean of the Faculty of Administrative Sciences, University of Indonesia (FIA UI), Prof. Dr. Chandra Wijaya, M.Sc., M.M., stated that if Indonesia only offers five years, of course, it is not attractive or competitive enough. Indonesia can provide a range of 10-20 years as well, and getting it is more straightforward than the current procedures and requirements.

“If other countries offer Golden Visas, Indonesia offers Platinum Visas, which are superior/competitive from other countries,” said Prof. Chandra.

Indonesia has so far not adopted this policy. Even though almost 100 countries on five continents already have this program and already have regulations governing golden visas. At least more than 60% of European Union (EU) member countries have such a program.

“Based on Article 34 of Government Regulation No. 48 of 2021 concerning Regulations for Implementing Law No. 6 of 2011 concerning Immigration, Indonesia currently only recognizes four types of Visa: Diplomatic Visa, Service Visa, Visit Visa and Limited Stay Visa. Exists at this time, Foreign Investors can have Visas and Permanent Stay Permits that are valid for quite a long time, but the implementation must be gradual, namely starting from a Visit Stay Permit, then changing the status to a Limited Stay Permit, then changing the status again to a Stay Permit Still. This is different from the Golden Visa offered by many other countries,” said the Professor of FIA UI.

According to him, the current regulations allow foreign investors to have visas and permanent residence permits that are valid for quite a long time. Still, the implementation must be gradual, starting from a visit stay permit, then changing status to a limited stay permit, and then switching position again. to become a permanent resident. “This is different from the golden visa offered by many other countries,” he said.

He also stated that the policy of granting visas to foreigners must be carried out selectively and carefully because the government is responsible for maintaining sovereignty, order and protection for Indonesian citizens. Prof. Chandra suspects that this cautious attitude has caused Indonesia’s visa policy to lag behind compared to other countries.

In line with the spirit of creating ease of doing business in Indonesia to be able to create jobs and reduce unemployment as well as increase national economic growth, it is only fitting that the Government of Indonesia can review existing regulations to be able to provide convenience with both procedures and requirements for foreigners who meet specific criteria for can get some Golden Visa or whatever the name you choose and a Permanent Stay Permit that is valid for a long time. “Say 10-20 years straight away and without going through a status change (through the stages of a Visit Stay Permit and a Limited Stay Permit),” he said.

He also discussed visa policy reform, which could be started by revising Law Number 6 of 2011, specifically Article 54, which regulates the requirements for permanent residency permits. After that, revisions were made to government regulations and regulations from the minister of law and human rights related to the policies for granting visas and residence permits.

“The facilities that can be offered to Foreign Investors who meet these criteria are convenience and speed in granting the Visa and Permanent Stay Permit. Criteria that can be used as a reference for these Foreign Investors, for example, the suitability of the chosen investment field, the value of the investment to be invested, the number of local workers to be absorbed, local partners to be involved, MSMEs to be involved and so on,” he explained.

He continued that the validity period of the Visa and Stay Permit granted is, of course one of the attractions for these potential foreign investors because they will not be bothered by immigration matters and will be more focused on managing their business in Indonesia.

“To make this happen is not difficult, it is enough to revise the existing regulations, starting from the Law on Immigration to Government Regulations and Ministerial Regulations, especially related to the policy of granting Visas and Stay Permits for Foreigners. I am sure that with the revision of these regulations, the Immigration officials will be able to carry it out properly,” explained Prof. Chandra.

Prof. Chandra also added that granting Visas and Permanent Stay Permits for a long duration is, of course related to the investment interest of Foreign Investors. Indonesian Immigration is the front gate for these potential foreign investors. If they get good service, precise licensing arrangements in terms of time, requirements and costs, no complicated requirements, short procedures, short processing time and low cost, then it will create a good impression on them about the State of Indonesia.

“Because they have a good impression at the gate, they will perceive that obtaining other business permits in Indonesia will also be easy, so they can decide that Indonesia is a suitable place for them to invest. So they can focus more on managing and developing business in Indonesia,” he added.

He also said that the Directorate General of Immigration has been carrying out bureaucratic reforms for a long time to provide the best service. Two of the eight areas of change in implementing Bureaucratic Reform are Improving the Quality of Public Services and the Arrangement of Laws and Regulations.

“So to be able to improve the quality of its services to foreign investors, the Directorate General of Immigration can propose regulatory changes related to the policy of granting Visas and Permanent Stay Permits,” he concluded.

Interview excerpt from the Dean of FIA UI, Prof. Dr. Chandra Wijaya, M.Si., M.M., in one of the headline sections regarding Investors and Golden Visas, Koran Sindo, Friday 16 September 2022