“There are several types of new Visas, including Visit Visa for single entry with a period of 180 days and Visit Stay Permit for Pre-Investment”
Based on data provided by Custodian Sentral Efek Indonesia (“KSEI”), in February 2022, the number of investors in the capital market is 8,1 million, the number of investors in mutual funds is 7,4 million, the number of investors in C-BEST is 3,6 million, and a number of investors in state securities is 649,332. Investors themselves can be from various countries. Now, there is a new type of Visa provided for foreign investors.
A. A New Type of Visa
In relation to the publication of Ministry of Finance Regulation No. 9/PMK.02/2022, there is some new type of visa and new fee visa. Based on Government Regulation No. 48 of 2021 (“GR 48/2021”), in the event of foreigner need to do a business trip or pre-investment to Indonesia, the visa that is required is Visit Visa. The new visa for business and pre-investment is a Visit Visa for single entry with a period of 180 days and a Visit Stay Permit with a period of 180 days for pre-investment.
The benefit of having a Business and Pre-Investment Visa is foreigners have permission to leave or enter Indonesia for a period of time and legally do their business meetings or pre-investment activity in Indonesia.
As mentioned in GR 48/2021, Visit Visa for single entry is issued for foreigners who will visit Indonesia in the event of government duties, education, social culture, tourism, pre-investment, business, family, journalism, or stop by to continue the journey to another country. A business visa is only allowed for foreigners who will be on a business trip (e.g., attend a business meeting or seminar) and not be employed in Indonesia. Meanwhile, Pre-Investment Visa or Visit Stay Permit for Pre-Investment is issued to accommodate foreigners as investors to conduct assessments or surveys before investing in Indonesia.
B. Differences between A New Type of Visa with Existing Visa
A new type of visa was applied to accommodate changes in regulations regarding the scope of the visa. So, there is a difference between a new type of visa and with existing visa in their scope.
Regarding Ministry of Law and Human Rights Regulation No. 24/2016, previously Visit Visa for single entry and multiple entries included business but not pre-investment as an activity to get the visa issued. Whereas, GR 48/2021 included pre-investment as an activity for the Visit Visa to get issued.
In the context of business, the difference between a new type of visa and with existing visa is a new type of visa accommodates a visa for pre-investment while the existing visa does not.
A business visa is included in a Visit Visa for a single trip and a Visit Visa for multiple trips so that there is no difference between an existing Business Visa and a new Business Visa other than the visa period and cost. The previous Business Visa for a single trip only has a period of 60 days, while the new Business Visa has a period of 60 days and 180 days.
Regarding costs, previously Business Visa for a period of 60 days is US$50 and IDR 200K, while a new Business Visa for a period of 60 days is IDR 2 million and for a period of 180 days is IDR 6 million. Then, regarding business visas for multiple trips, there is the only difference in visa cost. Previously, the Business Visa cost for multiple trips is US$110 while now is IDR 3 million.
Regarding Pre-Investment Visa and Visit Stay Permit with a period of 180 days for pre-investment, the visa issued for foreign investors in carrying out activities before the investment is held, which is different from a Business Visa issued to foreigners conducting business activities such as business meetings or other things outside of investment.
A Pre-Investment Visa basically includes in Visit Visa for a single trip and a Visits Visa for multiple trips, so a pre-investment visa can be issued for a period of 60 days at a cost of IDR 2 million for a period of 180 days at a cost of IDR 6 million, or for multiple trips at a cost of IDR 3 million.
To provide the new Pre-Investment Visa, there is also a new service in the form of a Visit Stay Permit with a maximum validity period of 180 days for pre-investment at a cost of IDR 6 million. Visit Stay Permit for pre-investment is for foreign investors to stay in Indonesia for a maximum of 180 days for the purpose of visiting for preparation of investment. As same as Visa, before there is no service about Visit Stay Permit for pre-investment.
C. Implementation of A New Type of Visa
Regarding Circular Letter of Directorate General of Immigration of Ministry of Law and Human Rights about Implementation of Ministry of Finance Regulation No. 9/PMK.02/2022, the new type of visa and its cost is enforced since April 16th, 2022. However, there is some type of visa that is still not enforced, but the Visit Visa and Visit Stay Permit for pre-investment are already enforced by April 16th, 2022.
Author: Vania Aqilla Cahyaningrum
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