Moving to and Living in Jakarta for Foreigners: A Guide

In the dynamic landscape of global business, Jakarta stands out as a compelling destination for expatriates seeking not just a change of scenery, but a strategic foothold in Southeast Asia’s economic hub. We understand the unique challenges and opportunities that expatriates may encounter when trying to decide living in Jakarta.

This guide is crafted with a dual purpose: to help you seamlessly integrate into the vibrant cultural fabric of Jakarta while strategically positioning yourself for professional success.

Living in Jakarta with the Right Visa

You’ve likely heard of tourist visas, business visas, stay visas, etc. for traveling, working, and living in Jakarta before. However, if you’re like most people, these visa terms can either be overwhelming or confusing.

Below is the list of the common visa types in Jakarta and be sure to get choose the right one.

Short-term Visas

Short-term visas can be further categorized into the following:

1. Free tourist visa

• Validity: 30 days
• Extendability: No
• Can you work? No.

2. Visa on arrival (VoA)

• Validity: 30 days
• Extendability: No
• Can you work? No
• Certain airports in Indonesia do not issue VoA, make sure to find out which airport you will be arriving at

3. Single-entry business visa

• Validity: 60 days
• Extendability: Yes. Up to four times with 60 days each
• Can you work? No. Only for attending business events

4. Multiple-entry business visa

• Validity: 12 months with unlimited entries (each entry allows a maximum of 60-day stay)
• Extendability: No.
• Can you work? No. Only for attending business events

Long-term visas

For long-term working and living in Jakarta as a foreigner, the residency permit is what you need. There are several types of long-term stay permit:

1. Working KITAS

• Validity: 6 – 12 months
• Sponsorship required
• Can you work? Yes

2. Investor KITAS

• For shareholders of PT PMA
• Validity: 2 years
• Can you work? Yes

3. Marriage KITAS or Spouse KITAS

• Must be married to an Indonesian citizen
• Can you work? Yes, only when you obtain a work permit from an employer
• Can be upgraded to permanent stay permit known as KITAP after two years of marriage

4. Retirement KITAS

• Available for seniors of over 55 years old
• Validity: 12 months
• Extendability: Yes (annually for up to five years, then it can be upgraded to a permanent stay permit known as KITAP)
• Can you work? No.

How to Start A Business in Jakarta

Foreigners establishing businesses in Jakarta have several options to choose for their legal structure:

PT PMA (Foreign Company)

A PT PMA is the most company type of legal entity in Jakarta for foreigners but you have to meet the following criteria to set up one:

• IDR 10 billion minimum investment for the investment plan
• IDR 10 billion paid-up capital
• Foreign ownership varies from 1% to 100% based on the Negative Investment List

PT (Local Company)

You can incorporate a PT company easily in Jakarta with only IDR 51 million of capital. According to the latest changes laid out in  Job Creation Law, the classification of Local PT in Indonesia based on paid-up capital as follows:

• A micro-enterprise: less than IDR 1 billion
• A small enterprise: IDR 1 – 5 billion
• A medium enterprise: IDR 5-10 billion
• A large enterprise: more than IDR 10 billion

However, the type of ownership for a PT is 100% local ownership.

Representative Office

Opening a representative office in Jakarta is the easiest among all types of legal entities we have just discussed. A foreign parent company establishes a representative office to conduct marketing activities or non-profit generating operations.

Where to Live in Jakarta

Several places are recommended when you want to plan to move to Jakarta:

• Kelapa Gading in North Jakarta
• Kebayoran Baru, Kuningan, and Sudirman in South Jakarta
• Golden Triangle and Menteng in Central Jakarta
• The Chinatown and Tangerang in West Jakarta

However, foreigners are only allowed to lease a property, purchasing a property in Jakarta is not permitted for foreigners. Ways that can help foreigners overcome these restrictions is to buy a property or an apartment in Jakarta through PT PMA establishment.

Start Your Journey in Jakarta with InCorp

As a leading consulting company in Indonesial with 10+ years of experience, InCorp can provide both guidance and assistance in visa application and company registration. We also provide other services such as business licensing, business process outsourcing and local partner selection, among others.

Talk to us now to discuss your requirements. Fill in the form below for free consultation.