They are cracking down the Investor Visa (?)

[pantaiema]

The Ministry of Immigration (Imipas) is collaborating with the Ministry of Investment and Coordinating Board (BKPM) to supervise and tighten entry permits for foreign nationals (WNA).

Kementerian Imipas gandeng BKPM perketat izin WNA

Kementerian Imigrasi dan Pemasyarakatan (Imipas) menggandeng Kementerian Investasi dan Hilirisasi/Badan Koordinasi dan Penanaman Modal (BKPM) untuk melakukan ...

www.antaranews.com

According to him, a number of foreign nationals entered Indonesia as investors, but it turned out that the form of investment and their offices were fictitious.

What he failed to mention (or is deliberately ignoring it) is how these individuals obtained their investment visas in the first instance without engaging in any actual investment activities ? Who authorised them ?. In the cases like this It is highly likely that immigration, investment agents are involved, charging several times of the official fee to help people bypassing the official investor visa requirement such as the requirement of Investing of at least Rp10b.

Another common issue is that, even when it's known there are no investment activities, these same individuals are still able to renew their visas or obtain new investment visas.

 

[El_Goretto]

They did a razia a couple years ago in both Bali and Jakarta. A good thing, if you ask me.

 

[indofilo]

why? i dont get it

 

[centurion]

Another common issue is that, even when it's known there are no investment activities, these same individuals are still able to renew their visas or obtain new investment visas.

Coz they are investing in the right place.

 

[pantaiema]

why? i dont get it

I wonder what exactly you're having trouble understanding. Could you please clarify ? The investor visa is meant for individuals who truly intend to invest in Indonesia. Using this scheme the Indonesian government expect to gain from taxation, local people get employed. This crackdown targets those who are misusing the visa, not legitimate investors.

As I mentioned in my previous post, I'm not placing all the blame on the foreigners. Some may have been misled by agents who are simply after a fat commission/fee. However, there could also be individuals who intentionally exploit the system by knowingly working with such agents. Also The staff in Ministry of Immigration as well as staff in Investment and Coordinating Board (BKPM) might be getting their cut.
When thing goes wrong the foreigners are the party who will suffer, not the agent nor the staffs in the ministries.

 

[Balifrog]

They did a razia a couple years ago in both Bali and Jakarta. A good thing, if you ask me.

Typical example...

PARQ Ubud Formally Shut Down As Business Found To Violate Multiple Regulations

The Ubud-based business was given a period of grace to get papers in order, but, in failing to do so, authorities closed the premises.

thebalisun.com

Bad luck for the guests being kicked out.
Now the question is how the "investors" managed to transform several hectares of ricefield into constructible land and build this huge thing without any authority asking questions...
Guess ?

 

[Shadrach]

Typical example...

PARQ Ubud Formally Shut Down As Business Found To Violate Multiple Regulations

The Ubud-based business was given a period of grace to get papers in order, but, in failing to do so, authorities closed the premises.

thebalisun.com

Bad luck for the guests being kicked out.
Now the question is how the "investors" managed to transform several hectares of ricefield into constructible land and build this huge thing without any authority asking questions...
Guess ?

Money under the Table can Work Wonders!

 

[El_Goretto]

why? i dont get it

So an investor KITAS is a stay permit for investors, meaning shareholders in a PT PMA.

Unscrupulous visa agents are creating empty PT PMA, which are companies that only exist on paper but do not comply with the minimum capital requirements of IDR10Bn paid-up capital. Then they add these "investors" as shareholders of the PT PMA so they can obtain an investor KITAS, but these shareholders do not fulfill their minimum paid up capital requirements either.

These investor KITAS allow these foreigners to stay in Indonesia for longer periods of time, saving them money on applying for multiple visit visas which require them to exit the country every few months. In the long run, they save a bit of money on the visa fees essentially.

Some mis-use the visa, thinking that "i HaVe a KiTaS i'M aLlOwEd tO wOrK" and it's enough. It's not.

 

[Shadrach]

What I want to know is Who gets to own this property Now? This whole affair Reeks of Corruption! Like someone asked. How were they able to spend tons of money, complete the Project, and even having investors move in?
I feel sorry for the Fools that fall for these false promises, and invest lots of money, thinking all of these kind of problems were worked out a long time ago! it's not their fault, but they lose big time! While the Rich Foreign Capitalist, the Indonesian Officials, that built these projects, get away with only a slap on the wrist!
So let this be a Warning, to anyone that thinks they can buy a piece of Indonesia! Don't do it!

 

[centurion]

Typical example...

PARQ Ubud Formally Shut Down As Business Found To Violate Multiple Regulations

The Ubud-based business was given a period of grace to get papers in order, but, in failing to do so, authorities closed the premises.

thebalisun.com

Bad luck for the guests being kicked out.
Now the question is how the "investors" managed to transform several hectares of ricefield into constructible land and build this huge thing without any authority asking questions...
Guess ?

This is not a typical example. These investors invested far more than 10 bln in real money.

 

[Balifrog]

This is not a typical example. These investors invested far more than 10 bln in real money.

But everything was illegal....

 

[El_Goretto]

This is not a typical example. These investors invested far more than 10 bln in real money.

Indeed, this has nothing to do with the topic at hand.

 

[pantaiema]

And now the Bali Governor are cracking down the illegal foreign business including tourism business licenses by forming a special team to handle illegal businesses run by foreign nationals. It was prompted by public complaints about the increasing dominance of tourism businesses by foreigners. The team will audit tourism business licenses and the Governor will initiate regulatory measures.

https://www.antaranews.com/berita/4870733/gubernur-bali-bentuk-tim-khusus-tangani-usaha-ilegal-wna Bali Governor forms special team to handle illegal foreign business

https://bali.tribunnews.com/amp/2025/05/31/pak-koster-geram-bisnis-bali-banyak-dikuasai-warga-asing-siap-terbitkan-surat-edaran-baru

 

[pantaiema]

There is a recent coverage from CNN highlighting, many foreign nationals are running vehicle rental businesses, both two-wheeled and four-wheeled, travel agent hospitality industry online without proper permits.

In Badung Regency alone, an estimated 400 car rental and travel agency businesses are controlled by foreigners, some even operating without physical offices and living in Bali

The government believes that the online submission licensing system may be creating loopholes for illegal business practices by foreign investors. Thus, there is a call for tougher enforcement of immigration rules, including deportation and blacklisting, to deter foreign nationals from violating regulations