Expat retirees who have been mired in uncertainty about their future following the introduction of the Second Home Visa can breathe a sigh of relief as Immigration has stated that they are exempt from the new rules.
For the time being, at least.
Immigration Directorate General Public Relations Subcoordinator Achmad Nur Saleh said in a statement sent to Coconuts today that expat retirees are not the target “market” of the newly launched Second Home Visa, which stipulates applicants must present proof of funds amounting to IDR2 billion (US$127,648).
“Our market is very obvious, which is aimed toward foreigners who are able to meet the requirements as stipulated in the Second Home Visa. For expat retirees whom many of them live in the Island of Gods, Bali, we welcome them to remain living in Indonesia and enjoy their retirement here with ITAS [limited stay permits] that are still valid,” Achmad said.
Beyond their current valid permit, Achmad added that regulations are being drawn up that will determine whether or not retirement permits can be extended.
Immigration used the term “Premium Foreigners” to refer to the Second Home Visa’s target market. Those who do not fall in this category were referred to as “Regular Foreigners.”
In general, Achmad stated the Second Home Visa was launched in an effort to promote the property sector by attracting foreigners who are interested in investing in Indonesia. Achmad said that the proof of funds requirement would not be a problem for middle to upper class foreigners, AKA those with fat wallets who want to stay in Indonesia for up to 10 years.
The official said that the central government felt the need to address the situation after a number of foreigners have expressed their fear of being driven away with the introduction of the Second Home Visa.
Pio Salvator Ginting, an attorney with PSG Law Office who specializes in visa applications, welcomed the government’s statement, saying that expat retirees should be exempt from Second Home Visa rules.
“The expat retirees cannot be put in the same category as Second Home Visa applicants,” he said, adding that expat retirees also contribute to the Indonesian economy.
Some of the expat retirees whom Coconuts Bali contacted welcomed the announcement, although some still feel uncertain due to the apparent fickle nature of regulations in the country.
“So glad the Indonesian Government appears to have listened to real concerns. Now I can remain in Bali, rather than plan to leave, and invest in the local economy again, as we did during the pandemic,” said an expat retiree who wished to remain anonymous to protect his privacy.
“Whilst it is good news that the government has changed course, the whole experience has undermined confidence. The future now seems less certain,” said another expat retiree, who also wished to remain anonymous.
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