Expatriate Working Permit in Indonesia: What You Need to Know

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In the ever-globalizing world, many companies have started to set up branches or collaborate with businesses in different countries. For expatriates planning to work in Indonesia, understanding the local regulations regarding employment is crucial. One of the significant terms that often comes up is the Expatriate Working Permit, known as IMTA, and its successor, the Notification from the Ministry of Manpower.

Expatriate Working Permit in Indonesia: What You Need to Know

The IMTA used to be the primary permit that allowed foreign workers to legally work in Indonesia. However, since the regulation change in 2018, the IMTA has been replaced by a Notification from the Ministry of Manpower. The Notification is an integral part of the process when applying for the Limited Stay Visa (VITAS) and the Limited Stay Permit Card (KITAS). The Notification is issued once the foreign worker’s employing company in Indonesia has fulfilled all the requirements and obtained the approval from the Ministry of Manpower.

The Investor KITAS is one of the types of permits that an expatriate might consider. Unlike the regular working KITAS, an Investor KITAS is given to foreign investors who have invested a certain amount of capital in an Indonesian company. In a sense, an Investor KITAS allows its holder not only to stay but also to work in the company they have invested in, thus removing the need for a separate work permit.

In addition to allowing work in the invested company, the Investor KITAS also offers several other benefits that make it a compelling option for foreign investors. Holders of an Investor KITAS can open a local bank account, obtain a local driving license, and it may ease the process of applying for the Permanent Stay Permit (ITAP) in the future, should the investor decide to make Indonesia their permanent home.

However, it’s important to note that regulations and requirements regarding the working permits for expatriates in Indonesia can change. Therefore, staying updated and getting the right assistance to navigate the complex process is vital. For investors, the Investor KITAS can be a beneficial choice. It provides multiple advantages and allows investors to contribute to the Indonesian economy while enjoying the privilege of living in the country.

To conclude, getting the correct working permit is a must for expatriates planning to work in Indonesia. It is advisable to understand the different types of permits available, such as the Investor KITAS, and the requirements to obtain and maintain them. As with any legal process, it’s crucial to ensure all procedures are correctly followed to guarantee a smooth and worry-free stay in Indonesia.

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