Jakarta: A Bali holiday may become even cheaper for Australians, with Indonesia considering lifting its visa on arrival fee.

The $US35 fee could be scrapped for citizens of Australia, China, Japan, South Korea and Russia from next year, Tourism Minister Arief Yahya says.

"Those countries are our main foreign tourist targets," he told reporters on Wednesday, as reported by Indonesian news website detik.com.

"Like China, its middle-class is huge and that has potential for us."

The free short-term visas for Indonesia's five main tourist markets was one idea to come out of a ministerial meeting on Wednesday.

The other was simplifying licenses to encourage more yachts and cruise ships to stop over in Indonesia.

AAP