The legal framework for long-term residency in Indonesia for high-net-worth individuals and investors is primarily governed by Regulation of the Minister of Law and Human Rights No. 22 of 2023 regarding Visas and Stay Permits (Peraturan Menteri Hukum dan Hak Asasi Manusia Nomor 22 Tahun 2023 tentang Visa dan Izin Tinggal), as amended by Regulation No. 11 of 2024. These regulations formalize the Second Home Visa and the Golden Visa programs, which are designed to attract global capital and talent through extended stay durations and streamlined administrative requirements.

The Second Home Visa Program

The Second Home Visa is a non-working visa category intended for foreigners who wish to reside in Indonesia for 5 or 10 years. This program replaced the previous retirement visa regime for new applicants, shifting the focus from age-based eligibility to financial solvency. According to Article 55 of Permenkumham No. 22/2023, the Second Home Visa is granted to foreigners to stay in Indonesia for a certain period in order to contribute to the Indonesian economy.

The financial requirements for the Second Home Visa are strictly defined by Circular Letter of the Director General of Immigration No. IMI-0740.GR.01.01 of 2022. Applicants must provide a “Proof of Funds” (Bukti Dana) in an account held at an Indonesian state-owned bank (Bank Milik Negara). The specific thresholds and acceptable forms of collateral are:

  1. A cash deposit of at least Rp 2,000,000,000 (two billion Indonesian Rupiah) or its equivalent in the applicant’s account at a state-owned bank; or
  2. Proof of ownership of luxury real estate in Indonesia in the name of the foreigner, categorized as “Luxury” under the prevailing agrarian and spatial planning regulations.

Article 184 of Permenkumham No. 22/2023 specifies that the Second Home Stay Permit (Izin Tinggal Rumah Kedua) is valid for a maximum of 10 years and is non-extendable, though a new permit may be applied for upon expiry. Holders of this visa are permitted to bring dependents, including spouses, children, and parents, under the “Second Home Follower” category, provided additional financial guarantees are met.

The Golden Visa Program

The Golden Visa is a specialized classification of the Limited Stay Permit (Izin Tinggal Terbatas or ITAS) and Permanent Stay Permit (Izin Tinggal Tetap or ITAP) granted for durations of 5 or 10 years. It is specifically targeted at individual investors, corporate investors, and the Indonesian diaspora. The program is codified under Permenkumham No. 22/2023 and further detailed by the Directorate General of Immigration.

Individual Investor Thresholds

Individual investors may qualify for a Golden Visa through the establishment of a company or through passive investment in Indonesian financial instruments. The investment thresholds are as follows:

  • For a 5-year stay (Company Establishment): An investment of USD 2,500,000.
  • For a 10-year stay (Company Establishment): An investment of USD 5,000,000.
  • For a 5-year stay (Non-Company Establishment): A deposit of USD 350,000 in Indonesian government bonds, public company shares, or deposits at Indonesian banks.
  • For a 10-year stay (Non-Company Establishment): A deposit of USD 700,000 in Indonesian government bonds, public company shares, or deposits at Indonesian banks.

Corporate Investor Thresholds

For corporations seeking Golden Visas for their directors or commissioners, the investment requirements are significantly higher, reflecting the institutional nature of the commitment:

  • For a 5-year stay: A corporate investment of USD 25,000,000.
  • For a 10-year stay: A corporate investment of USD 50,000,000.

Global Talent and Diaspora Categories

The Golden Visa also extends to “Global Talent” and the Indonesian diaspora. Under Article 185 of Permenkumham No. 22/2023, the Global Talent category is reserved for individuals recognized by the Indonesian government for their exceptional expertise or achievements. The diaspora category applies to former Indonesian citizens (Eks Warga Negara Indonesia) and their descendants. Article 189 defines the diaspora requirement:

“Visa Tinggal Terbatas dalam rangka Golden Visa bagi eks warga negara Indonesia dan anak eks warga negara Indonesia tidak diwajibkan memiliki Penjamin.” (Limited Stay Visa in the context of a Golden Visa for former Indonesian citizens and children of former Indonesian citizens is not required to have a Sponsor.)

This provision allows the diaspora to utilize a “Self-Sponsorship” mechanism, provided they demonstrate a commitment to the Indonesian economy through a deposit of USD 35,000 in state-owned banks or equivalent investments in government bonds or luxury property.

Rights and Privileges of Golden Visa Holders

The Golden Visa provides several administrative exemptions and privileges not available to standard ITAS or ITAP holders. These are outlined in the Directorate General of Immigration’s operational guidelines:

  1. Exemption from ITAS/ITAP Reporting: Holders are not required to report to the local Immigration Office every month or year.
  2. Priority Lanes: Access to priority service lanes at International Airports.
  3. Extended Validity: Stay permits are issued for 5 or 10 years, reducing the frequency of administrative renewals.
  4. Simplified Exit/Re-entry: The Golden Visa functions as a Multiple Re-entry Permit (MERP) valid for the duration of the stay permit.

Property Ownership and “Right to Build” (Hak Guna Bangunan)

While the Golden Visa and Second Home Visa facilitate residency, the underlying right to hold property as collateral or proof of investment is governed by Government Regulation No. 18 of 2021 (Peraturan Pemerintah Nomor 18 Tahun 2021). Foreigners holding these visas may acquire residential property under the “Right to Use” (Hak Pakai) or “Right to Build” (Hak Guna Bangunan) on land owned by the State or land with “Right to Own” (Hak Milik).

According to BPN Regulation No. 18/2021, the minimum price for property that can be used to satisfy visa requirements is determined by the Ministry of Agrarian Affairs and Spatial Planning (ATR/BPN) and varies by province (e.g., Rp 5,000,000,000 for a landed house in Jakarta or Bali).

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