President Joko “Jokowi” Widodo has recently launched a policy granting golden visas to foreigners who create added value to Indonesia. Shin Tae-yong, the Indonesian National Football Team coach, was chosen as the first recipient of the facility during the policy’s grand launching. Many people wondered why the South Korean football coach was selected.

The reason is actually simple. The Indonesian government believes that Shin Tae-yong has made a significant contribution and brought pride to Indonesia through the various achievements he has garnered while coaching the Indonesian National Football Team. Shin Tae-yong, who has been working in Indonesia for 4,5 years, expressed great pride in earning the golden visa.

"I feel proud. It means that the hard work over the past 4,5 years has been recognized, both by the public and the President himself," he said.

After receiving the golden visa, Shin Tae-yong promised to work even harder to advance Indonesian football. He even aspires to bring the Indonesian National Team to the World Cup.

Innovative Policy

Indonesia is not the first country to have implemented a golden visa policy. Countries including the United States, Canada, the United Arab Emirates, Ireland, Germany, New Zealand, Italy, and Spain have adopted similar policies.

According to the Organization for Economic Co-operation and Development (OECD), a golden visa is a residence-by-investment and citizenship-by-investment scheme.

Silmy Karim, Director General of Immigration at the Ministry of Law and Human Rights, stated that countries implementing this policy have seen positive impacts. "Countries that have implemented this policy have experienced its positive effects," he said.

The golden visa service in Indonesia is regulated by the Minister of Law and Human Rights Regulation No. 22 of 2023 on visas and residence permits, and the Finance Minister Regulation No. 82 of 2023, enacted on 30 August 2023. The golden visa is granted to foreigners who contribute to Indonesia and bring pride to the country, such as Shin Tae-yong.

Additionally, the golden visa is granted to qualified foreigners who bring economic benefits to the country, whether as individual or corporate investors. Foreigners who plan to invest in Indonesia for at least US$2.5 million (Rp38 billion) can obtain a five-year golden visa. Meanwhile, to secure a 10-year golden visa, they must invest US$5 million (Rp76 billion).

Foreigners who do not wish to invest but want to obtain a golden visa must place funds amounting to US$350,000 for a five-year golden visa and US$700,000 for a ten-year golden visa. These funds can be used to purchase Indonesian government bonds, shares in public companies, or savings/deposits.

Corporate investors that invest US$25 million (Rp380 billion) will get a five-year golden visa for their directors and commissioners. Similarly, people who invest US$50 million will be granted a ten-year golden visa.

Aside from the extended residency permits, golden visa holders in Indonesia enjoy various benefits, including easier entry and exit from the country and the elimination of the need to apply for a Limited Stay Permit (ITAS).

However, this policy is not without risks. President Jokowi reminded related ministries/agencies to carefully select golden visa recipients to minimize security threats, money laundering, and tax evasion.

"We want as many as possible, but they must be thoroughly screened. We must not allow bad people to enter. They must be strictly selected," Jokowi emphasized.

According to the most recent report from Director General Silmy Karim, there were 300 applicants for the golden visa at the time the program was implemented. "As of this morning [on Thursday], I asked the Director General of Immigration, and 300 people had already registered. I was surprised; that's quite a lot," said President Jokowi.

The golden visa aims to stimulate investment in Indonesia. "This is to facilitate our services to investors and global talent who are given the opportunity to come to Indonesia with golden visa facilities," Jokowi added.

This policy is intended to encourage more qualified foreigners who bring benefits to Indonesia to come and invest, support economic development, and create more job opportunities in the country.

Writer: Firman Hidranto

Editors: Ratna Nuraini/Elvira Inda Sari/Siti Chodijah

Translator: Ratna Puspa Merdika