Foreign shareholders seeking to establish and manage a business in Indonesia face a dual obligation from the outset, one commercial, one regulatory. Beyond company formation and capital investment, they must secure the correct immigration status to legally enter Indonesia, reside, and participate in business activities.
Indonesia provides a visa specifically designed for business investors, commonly referred to as the Investor Visa or Investor KITAS. This stay permit pathway enables foreign nationals to align their immigration status with their role as shareholders, Directors or Commissioners, and active decision-makers within a company.
Understanding how this visa connects to corporate structure, share ownership, and manpower compliance is essential for building a sustainable business in Indonesia.
Foreign Investor in Indonesia: Types of Investments and Initial Capital for Business in Indonesia
Indonesia distinguishes clearly between local and foreign-owned business structures. Foreign nationals intending to operate long-term are generally required to establish a PT PMA, which serves as the legal foundation of their investment.
All businesses must obtain a business registration number (NIB) through the OSS system, which also verifies compliance with investment thresholds and licensing requirements.
Minimum Investment for Foreign Business Investors in Indonesia
A key requirement for foreign investors is meeting the minimum capital threshold. For most sectors, the total investment must exceed IDR 10 billion per business classification, excluding land and buildings.
In practice, this threshold is not just a corporate requirement; it directly impacts immigration eligibility.
Foreign investors should ensure:
- Their share ownership reflects real capital participation
- The sponsoring company is a registered PT PMA
- Investment aligns with the visa application requirements
Approaching company setup and visa planning separately often leads to delays during visa issuance or rejection during review by Indonesian Immigration.
About PT PMA Company in Indonesia
A PT PMA is the standard structure for foreign investment and plays a central role in the immigration process.
It functions as:
- The legal entity for conducting business
- The Sponsor for the Investor ITAS application
- The holder of the official NIB
Typically, an investor visa applicant is a Director or Commissioner who also holds shares in the company. This alignment between role and ownership must remain consistent across all documents submitted to Indonesian Immigration.
What is an Investor Visa in Indonesia?
An Investor Visa is a stay permit issued by Indonesian Immigration that allows foreign nationals to live in Indonesia while managing their investment.
It supports:
- Business operations and expansion
- Investment management
- Company establishment
- Limited work-related activities
The visa is valid for entry within 90 days from issuance. Once the holder enters Indonesia, it converts into an Investor ITAS, forming the basis of their legal stay permit.
Investor KITAS E28
The Investor KITAS (E28) is the limited stay permit granted after entry into Indonesia.
| Feature | Description |
| Permit Type | Limited stay permit (Investor ITAS) |
| Validity | 1–2 years |
| Entry | Multiple entry |
| Extension | Managed by Sponsor |
| Function | Allowing them to live and manage their business |
For foreign shareholders, this permit offers a stable way to remain in Indonesia without relying on short-term visas.
Working under an Investor Visa
The Investor Visa allows certain business-related activities, but its scope must be clearly understood.
Eligible holders may:
- Act as a Director or Commissioner
- Oversee investment and strategic decisions
- Manage company operations at a high level
However, a key compliance rule applies:
- If investment value is below IDR 1 billion
- Or if the role becomes operational
The individual may need to apply for a work permit through the manpower authority. Remember, this distinction is critical. Not all investor visa holders are automatically exempt from manpower requirements.
Requirements and Visa Application Process
The application requires coordination between the foreign investor and the sponsoring company.
Core applicant documents include:
- Passport (minimum 6 months validity)
- Visa application letter
- Recent photograph
- Curriculum vitae
- Proof of financial capability
From the company (Sponsor):
- PT PMA establishment documents
- Valid business registration number (NIB)
- Corporate and share ownership details
Once the applicant enters Indonesia, the company must report to Indonesian Immigration within 90 days, a step often overlooked.
The processing time generally includes:
- Submission to the Directorate General within 3 working days
- Decision issued within 5 working days after review
The final Izin Tinggal Terbatas (limited stay permit) is issued after biometric registration.
Convert Your Investor KITAS to KITAP
If you are planning for a long-term residence, you may as well convert your Investor KITAS into a KITAP (Permanent Stay Permit).
To qualify, applicants must:
- Hold an ITAS for at least 3 consecutive years
- Apply at least 30 days before expiry
Supporting documents include:
- Updated company deed
- Tax reports and financial statements
- Bank statements
- Proof of ongoing share ownership
This conversion process acts as both an immigration and corporate compliance review.
Apply for an Investor KITAS in Indonesia from LMI Consultancy
The success of an investor visa application depends on aligning immigration, corporate, and regulatory requirements from the beginning.
A well-structured application ensures:
- Share ownership aligns with the company structure
- The business registration number is valid and active
- Any manpower obligations are identified early
LMI Consultancy provides end-to-end support, covering:
- PT PMA incorporation
- NIB registration
- Investor ITAS application
- Permit issuance and compliance
With the right strategy, foreign investors can confidently enter Indonesia, secure their stay permit, and focus on growing their business with full regulatory clarity.
