Indonesia Urged to Review Visa-Free Expansion as Revenue Climbs
Jakarta. Indonesia should thoroughly review plans to expand visa-free entry, the State Audit Agency (BPK) said, noting that suspending the policy boosted immigration non-tax revenue to Rp 7.61 trillion ($424.95 million) in 2023 even as foreign tourist arrivals continued to rise.
BPK said the government should carefully assess any plan to broadly reinstate visa-free entry by weighing economic benefits, reciprocity, national security, and immigration risks before extending the facility to more countries.
The recommendation was delivered during the handover of BPK's audit report on the 2025 financial statements of the Immigration and Corrections Ministry.
BPK member Nyoman Adhi Suryadnyana said the Directorate General of Immigration serves a far greater role than generating non-tax state revenue (PNBP), acting as the country's first line of defense in screening foreign nationals entering Indonesia.
"The Ministry of Immigration and Corrections has demonstrated how immigration plays a role in screening tourists entering our country. This is not only about non-tax revenue, but also about our national sovereignty, which is far more important than revenue alone," Nyoman said in a statement released on Friday.
He said Indonesia's visa policy should continue supporting tourism, investment, and international mobility, but must also uphold the principles of reciprocity, economic benefit, national security, and the country's broader interests.
BPK reiterated its previous assessment that granting visa-free entry to 169 countries could potentially reduce state revenue by Rp 3.02 trillion annually. By contrast, the temporary suspension of the policy helped push immigration non-tax revenue to Rp 7.61 trillion in 2023, or 327.03% of its target, while international tourist arrivals still exceeded 10.6 million.
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Canada Eases Visa Rules for IndonesiansGiven that BPK recommended that any plan to broadly reintroduce visa-free entry be evaluated comprehensively with relevant ministries and agencies. The audit body said the facility should only be extended to countries that provide tangible benefits, apply reciprocal treatment to Indonesian citizens, and pose manageable immigration risks.
Immigration Director General Hendarsam Marantoko said higher non-tax revenue is only one of the outcomes of Indonesia's visa policy and should not be treated as the sole measure of its success.
"With BPK's support and oversight, the Directorate General of Immigration will continue evaluating visa policies, border inspections, foreign national supervision, and cross-ministerial data integration to ensure immigration facilitation goes hand in hand with protecting national interests, security, and sovereignty," Hendarsam said.
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