Aussies Save Big: Bali to Remove AU$50 Visa Fees Just in Time for Christmas

In a significant development for Australian holidaymakers, Indonesian authorities are set to remove the AU$50 Visa-on-Arrival (VoA) fee for tourists visiting the country.

This change, expected to take effect before October 2024, promises substantial savings for Australians planning to spend their Christmas holiday on the popular island.

Bali is Australia's top holiday spot, attracting hundreds of thousands of visitors annually and contributing significantly to Indonesia's revenue from visa fees paid by Australian tourists.

The proposal to eliminate the VoA fee draws inspiration from 2016 when the introduction of free VoA sparked a 16% surge in Australian tourists visiting Bali, culminating in a record 1.2 million arrivals. However, the fee was reinstated during COVID-19 restrictions, leading to increased costs for a Bali holiday.

Robbie Gaspar, president of the Perth-based Indonesia Institute, acknowledges that visa fees act as a deterrent for tourists. He applauds the decision to eliminate this "arrivals tax," anticipating a surge in Australian holidaymakers visiting the beloved island.

The removal of the VoA fee means big savings for families. For a typical Australian family of four, this translates into a AU$200 saving—a welcome relief amidst current cost-of-living pressures.

Indonesian officials are optimistic that these savings will circulate back into the local economy, providing an additional economic boost to local businesses.

The Central Statistics Agency (BPS) reports a significant surge in foreign tourist numbers in Indonesia in 2024, marking a robust recovery following the COVID-19 pandemic.

During the lockdowns, tourist arrivals for the period January to May were 3 million in 2020; 604,471 in 2021; and 997,432 in 2022. By early 2023, arrivals had risen to 4.2 million for the same period, reaching a substantial 5.2 million visitors from January to May 2024.

In the past year, Bali has welcomed over 410,000 holidaymakers from Western Australia alone. The removal of the Visa-on-Arrival (VoA) fee is expected to further stimulate these figures, contributing to a continued recovery and growth in tourism for the region.

Overall, Indonesia aims to attract a total of 17 million foreign tourists by the end of 2024.

Alongside Australia, Indonesia plans to extend free visa privileges to nationals from 19 other countries. This list includes China, India, South Korea, the United States, the United Kingdom, France, Germany, Qatar, the United Arab Emirates, Saudi Arabia, the Netherlands, Japan, Russia, Taiwan, New Zealand, Italy, Spain, and two additional Middle Eastern countries.

The introduction of cost-free entry for nationals of these 20 countries is expected to increase international tourist arrivals, boost domestic consumption, attract investment, and create opportunities for digital economy development in Indonesia.

While the removal of the Visa-on-Arrival (VoA) fee provides financial relief for tourists from several countries visiting Indonesia, Bali travellers are now subject to a new AU$15 environmental tax. This levy is dedicated to environmental conservation, nature preservation, and cultural enhancement efforts.

Ross Taylor from the Indonesia Institute believes many Australians would support this initiative, as it addresses significant environmental challenges on the island.

As Australian families eagerly await the formal announcement of the new rules, the promise of a more affordable and environmentally conscious holiday in Bali is on the horizon.

Sources: jakartaglobe.id, thewest.com.au, 9news.com.au