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The Indonesian government’s choice to exempt digital nomads and laptop CEOs from paying taxes is part of a larger initiative to increase foreign investment and foster economic development.
The government wants to encourage more digital entrepreneurs and start-ups to locate to Indonesia by offering tax benefits. Over time, this might result in more jobs being created, greater economic activity, and higher tax receipts.
As Bali recovers from the Covid-19 pandemic’s effects, the tourism Association of Indonesia anticipates that six million foreign visitors will arrive there by 2025.
In late 2022 it was reported that foreigners, including investors and tourists had difficulties obtaining visas, but tech start-up founder, Divyaansh Anuj, 29, from India said he had no issues getting his visa nearly six months ago. ‘I think the visa situation is pretty simple to understand,’ Anuj said.
Permanent holiday
‘I can work remotely because my team is remote. Right now, it’s just two of us, so in fact, I’m trying to get my collaborator to also join me here in Bali.’
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Anuj explained that he had been travelling the world as a digital nomad, ‘basically, just hopping around’. Bali had been on his list of places to go, ‘because everyone was talking about it. It’s like a digital nomad hub!’
Indonesia’s low cost of living, rich culture, stunning natural beauty and friendly people draw a lot of digital nomads. Bali, Yogyakarta, and Jakarta are a few popular locations for digital nomads in Indonesia. These cities provide a variety of amenities and services to enable remote work and entrepreneurship.
Celine Ware-Lane, 24, a digital nomad from South Africa, went to Bali with the aim of living there for a month. Instead, she ended up staying there for six months: ‘I ended up travelling to Bali on the recommendation of a good friend.’
‘All you really need is the discipline to sit behind your laptop and work. Wi-Fi is available everywhere and data top ups are relatively cheap,’ Celine added.
Anuj said that despite Bali’s reputation as a party island, he discovered a “wonderful, uncomplicated existence” and a “nice routine.”
‘I enjoy diving. I go snorkelling and freediving. I adore coral reefs. Hence, all I really need is a cafe with good Wi-Fi, a place to stay, and a beach,” he added.
Anuj would encourage other digital nomads to go to Bali but said his biggest concern is overcrowding: ‘Everything is great about Bali, but I think this overcrowding is only going to get worse.’ According to the tech guru, those who find Bali more crowded than expected can hop over to some of the 17,000 islands the country has to offer.
Things to look out for
Food options you get from restaurants is great and can be healthy. Ware-Lane recommends going to a “local warung” where you’ll pay up to R15 for a large meal. ‘But be wary of Bali Belly; I’ve seen some of the strongest men fall to their knees because of Bali Belly!’ the Capetonian added. Bali Belly is a bacterial infection in the gut that can cause severe nausea and diarrhea that lasts anywhere from one to five days if not treated properly.
Although both travelers have reported little to no concern about crime in Indonesia, Ware-Lane notes: ‘The most important thing to remember is that this is a third world country and you shouldn’t throw all caution to the wind and take chances. Be aware of being conned by locals when buying on the side of the road and being offered bribes by the police,’ she added.
All things considered, the rise of digital nomads has opened new prospects for employees as well as nations hoping to draw in foreign investment and expertise. We may anticipate that more nations will offer incentives in the future to attract digital nomads and entrepreneurs as more people adopt remote work and location-independent lives.
