What is Telex Visa? Find Out More Detail about Telex Visa in Indonesia

To make a business visa in Indonesia need the telex visa? Find out more details about the information of telex visa in Indonesia.

Before obtaining a business visa, you need the telex visa. This telex visa term may sound unfamiliar to many foreigners who want to stay in Indonesia. Find out more detail about telex visa in Indonesia.

What is Telex Visa?

Before a business visa is issued, you need to have the telex visa that is given by the Directorate General of Immigration to the Embassy of the Republic of Indonesia. Telex visa is such a recommendation or agreement letter given to the foreigners to take the certain kinds of Indonesia visas such as limited stay permits visa, the business visa, and socio-cultural visit visa for the business trip, social visit, working, or other intentions in Indonesia.  

What Kinds of Visa that Need Telex Visa?

Here are some Indonesia visas that need the telex visa.

1.      Business visa (single or multiple entry business visas), The single-entry business visa is valid for 90 days or 30 months counted from the first day of arrival to Indonesia. While the multiple entry visas are valid for a year with 60 days stay in Indonesia. 

After that, you need to leave for Indonesia before you come to the second, third, or the fourth times. Before obtaining this business visa, there should be telex visa that states of the approval of the issuance of a business visa. This visa recommended for those who make business trips to Indonesia.

2.      Limited Stay Permit Visa. This visa is recommended for the foreign student exchange or short-term stay. It is valid for 6 to 12 months. The Indonesian Embassy will issue the visa after receiving the telex visa from the Indonesian Immigration.

3.      Socio-Cultural Visit Visa. This visa is a single-entry visa and valid for 60 days from the first arrival. You can have the extension to this visa four times.  It means you can stay in Indonesia for about 180 days. To apply for the extension of this visa, you need to have the telex visa given by the Indonesian Immigration to Indonesian Embassy.

Procedures for Applying for the Telex Visa

If you obtain the individual sponsorship in Indonesia, you can register and apply for the telex visa via online by the favor from your guarantor.

1.      Your guarantor can register online in the website of the Directorate General of Immigration of the Republic of Indonesia. Fill up the registration form and upload some documents of your guarantor have.

2.      The system will verify the data of the guarantor. Once the data verified, the guarantor will receive an email from the immigration about the identity and password of the guarantor. If the data is rejected, there will be the notification in your email, too.

3.      The guarantor needs to fill up your data as the foreigner he or she guarantee via online on the same website. Login with the ID and password given. Make sure the guarantor reads the requirements carefully and upload all the documents asked.

4.      The officer in the immigration will verify your data and documents. If your data are verified, you through your guarantor need to pay the telex visa for Rp. 100,000 maximum seven days from the email sent to your guarantor.

5.      The system will proceed the payment.

6.      The officer will recheck the data whether your data registered by the guarantor are valid or not.

7.      The email notification and the attachment of the telex visa from the immigration will be sent to the guarantor’s email. That attachment can be forwarded to the Indonesian embassy that you choose where your business visa wants to be issued. 

Elson.co.id is also able to help the foreign residents deal with company establishment, work permit, and other legal issues such as family law

contact us, Elson, at our corporate email:  info@elson.co.id or on our landline: +621-819 3274 1 333.

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Indonesia: FDI By Sector

Before we start discussing Indonesia FDI by sector, let’s focus on FDI first. FDI stands for “Foreign Direct Investment”. This investment is usually made by a firm or an individual in terms of business. With this investment, they can expand their business from their own country to another.

In short, when an investor starts a foreign business or acquires its business assets, that is when FDI takes place. The other things that they do also include establishing the business that they own or controlling interest in another company. Investors only buy equities from the foreign-based companies.

The FDI Methods and Types:

Even if it is Indonesia FDI by sector, we must also be aware of the methods and types of FDI. There are methods to make FDI happen, which include:

1.    Opening a branch, subsidiary, or associate company overseas (in a country of their choice).

2.    Acquiring interests in the branch company abroad.

3.    Having a joint venture or merging with a foreign company.

Types of FDI include:

1.    Horizontal.

A horizontal FDI occurs when an investor opens the same type of business abroad with the one already established in their home country. For example, a Singaporean coworking space opens another with the same concept in Jakarta.

2.    Vertical.

A vertical FDI occurs when an investor opens a different type of business overseas from the one they already have in the home country. However, the two types of business operations are still related to one another. For example, a manufacturing company at home has an interest in a company of raw materials from another country.

3.    Conglomerate.

A conglomerate FDI occurs when an investor makes an investment in a business abroad that is not the same as the business back home. Since the investor usually has no similar experience, this form is also known as a joint venture.

FDI and Sectors in Indonesia

How is Indonesia FDI by sector going so far? An FDI in Indonesia certainly involves hiring foreign workers. Based on the sector, here are the numbers of foreign workers in Indonesia:

1.    Services: 52,633 people

2.    Industry: 30,625 people

3.    Agriculture: 2,716 people

The statistics above are based on the Manpower Ministry's research and findings in 2017. Meanwhile, here are the most popular FDI's destinations in Indonesia:

-       Industrial estate, housing, and office building.

-       Machinery, metal, and electronic industry.

-       Construction.

-       Food, plantations, and crops.

-       Transportation, warehouse, and telecommunication.

All the sources above are taken from BKPM. Construction has got the most significant FDI so far, which is USD 13 trillion. Food, crops, and plantations have got the second biggest FDI, which is USD 10.4 trillion. After that, there is warehouse, transportation, and telecommunication sector, which has got USD 10.3 trillion for their FDI.

Still, Indonesia FDI by sector is governed by the government’s negative investment list. However, some things have changed in 2018. To facilitate investors from overseas, Indonesia has established 70 industrial zones for 13 different provinces. These efforts aim to streamline the procedure of the foreign investment.

With Indonesia FDI by sector, Indonesia is expected by the World Bank to progress over 5.3 percent in 2018.

Contact Us Now to get your legal solution for your business goals, and still comply with the prevailing laws and regulations.

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Guide to Oil & Gas Working Permit Recommendation Letter Suspension in Indonesia

Oil & gas is one of the most lucrative work fields in Indonesia, with a specific set of requirements for working permit application. However, Indonesian Ministry of Labor has suspended recommendation letter requirement for working permit in Indonesia, starting at the beginning of February 2018. Since recommendation letters had been required for every foreign worker in the industry, there are several aspects of the permit application that are likely to be affected

Reasons to Suspend Recommendation Letter

Ministry of Labor’s current suspensions put a hold on recommendation letters for Foreign Manpower Employment Plan (RPTKA) and Working Permit (IMTA). The recommendation letters were tools to ensure the 1:1 proportion between local and foreign recruits in Indonesia’s oil & gas industry, which has been known to attract foreign workers.  Any foreign workers who did not receive recommendation letters from the ministry will not be able to apply for working permit.

The recommendation letter suspension was a response to President Joko Widodo’s investment strategy. One of his demands is the shortening of permit application process for foreign workers, especially in oil & gas industry. This step was likely taken to encourage investment climate in Indonesia. The recent decision made the application process shorter for foreign workers.

However, President Jokowi also stated that priorities must be given to foreign workers with highly specialized skills, who have crucial roles in their respective companies.

Impacts of Recommendation Letter Suspension for Permit

Here are several impacts that happened to oil & gas industry (and the prospective foreign workers) after the recommendation letter suspension:

·         Shorter RPTKA application period

RPTKA application process for oil & gas expats normally happens between 15 to 30 working days, if there are no problems. The process can be shortened almost half without recommendation letter.

·         Shorter IMTA application period

Previously, it took another 10 to 20 days to apply for IMTA after RPTKA is obtained. Without recommendation letter, the IMTA application period may only need five to 10 days to finish.

·         Smoother, less complicated procedure

The suspension of recommendation letter creating less complicated permit application procedure. This means that an expat can start working in Indonesia without too many hassles. There are also fewer requirements and documents to prepare.

However, there are several cautions that may arise from this new regulation. For example, since there is more leniency in the application process, the ministry and Indonesian government may apply more restrictions in different areas, judging the lucrative nature of oil & gas industry.

What to Do Next

Since there are always possibilities for changes after temporary suspension, foreign workers (or companies that employ expats) must prepare for all possibilities. Any workers who have received their IMTA and other related documents will have no trouble in extending their permits. Meanwhile, those who will just start working in Indonesia for the first time need to discuss with the employer and consultant service.

Foreign workers, especially those with specialized skills or positions, need to follow the news regarding of this regulation. Make sure everything is in order, and there are no other changes before starting to apply for working permit in Indonesia. If possible, make use of the suspension period to find less complicated but legal method for permit application.

How Can Elson Help You?
ELSON Indonesia is a company that focus on providing comprehensive legal solution for expatriates, foreigner, and mixed marriage couple in Indonesia. Contact us: e-mail info@elson.co.id office (+62) 21 8067 4920 hotline (+62) 819 3274 1 333 

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