European Golden Visas: residence by investment

Golden visas for Europe are a type of special visa or residence scheme for wealthy foreign nationals. They require a substantial investment in the country.

Visitors to the European Union (EU) and the Schengen Area must either have an ETIAS visa waiver (from 2026 ) or a Schengen visa.

However, the rules are different for foreign nationals who plan to move to a European country and obtain citizenship.

Several countries in the EU and Schengen region have residence-by-investment (also known as ‘EU golden visa’) schemes that allow foreign investors to become residents.

However, it is important to note that the EU opposes the practice. The EU Commission recently released a recommendation urging Member States to terminate any existing golden visas, and has been issuing sanctions accordingly.

WHAT IS A GOLDEN VISA IN EUROPE?

A golden visa is a type of permit that provides a pathway to residence or even citizenship in a foreign country. It is based on investment and is typically aimed at wealthy individuals.

EU golden visas allow foreign nationals to become residents by buying property in the country or making a large investment or donation. The amount of money that must be invested depends on the individual state.

Several countries have European golden visa schemes. This includes a number of member states of the EU and the Schengen Area.

EU POSITION ON GOLDEN VISA SCHEMES

The EU has frequently raised concerns about golden visa programmes. There have been allegations of corruption and issuing residence permits and even granting citizenship to European countries improperly.

Golden passports are often advertised as a way to enjoy the advantages of European citizenship, including free movement through the region.

MAIN CONCERNS REGARDING EUROPEAN GOLDEN VISA SCHEMES

The EU is concerned about the following risks associated with golden visa schemes:

1. Security risks Foreign nationals who gain citizenship or residency by investment can travel freely around the Schengen Area without security checks.

2. Money laundering and financial crime Golden visa schemes could be used by criminals to launder money and gain access to the EU financial system.

3. Corruption There is concern that government officials may be tempted to grant citizenship to foreign nationals who do not meet the requirements.

EU AUTHORITIES CALL FOR AN END TO GOLDEN PASSPORTS

Due to these concerns, the European Union has taken several steps towards ending golden visas.

On Wednesday, March 9, 2022, MEPs adopted a legislative initiative report highlighting the problems associated with these schemes.

The Commission considered the proposal, and on March 29, issued a recommendation "urging Member States to immediately repeal any existing investor citizenship schemes and to ensure strong checks are in place to address the risks posed by investor residence schemes."

Didier Reynders, the European Commission’s commissioner for Justice, declared: "We consider that the sale of citizenship through ‘golden passports' is illegal under EU law and poses serious risks to our security."

PHASING OUT GOLDEN PASSPORTS

MEPs have called citizenship by investment schemes ‘objectionable from an ethical, legal, and economic point of view, and pose several serious security risks’. They have said that golden passports must be phased out.

REGULATE EU GOLDEN VISAS

The draft report also proposed action to standardise rules for ‘residence by investment’ offered by EU member states. The aim is to prevent money laundering, corruption, and tax evasion.

The suggested new rules include background checks, reporting, and minimum physical residence requirements for applicants.

BENEFITS OF EUROPEAN GOLDEN VISAS FOR FOREIGNERS

Although the EU is officially against the use of European golden visas, they can come with a number of advantages for foreigners.

Firstly, individuals who invest in an EU/Schengen country and apply for a golden visa will become legal residents of that country. Their spouses and children will also get residency. This allows them to do the following:

After being a resident for a certain period of time, golden visa holders can apply for citizenship. The length of time before this is possible differs depending on the country.

Becoming a resident through an EU golden visa scheme entitles the individual to free movement throughout the Schengen area. They will be able to travel to any of the Schengen Area member states without a visa.

Foreign nationals who are not Schengen residents must either have a visa or, from 2026 , apply for an ETIAS visa waiver online.

BRITISH CITIZENS AND EUROPEAN RESIDENCY BY INVESTMENT AFTER BREXIT

EU golden visas are becoming an increasingly popular option for British passport holders post-Brexit.

By obtaining residency by investment in an EU country, UK nationals can enjoy some advantages of European citizenship lost as a result of Brexit, in particular freedom of movement.

EUROPEAN COUNTRIES OFFERING CITIZENSHIP BY INVESTMENT

Some countries in the European Union and/or the Schengen Area have golden visas available to investors from third countries, such as:

Switzerland, which is a Schengen member country but not part of the EU, also has a golden visa programme.

The Republic of Ireland, which is an EU member state but not Schengen, also has an EU golden visa.

HOW TO OBTAIN EU RESIDENCY & CITIZENSHIP

Wealthy individuals from outside the EU and Schengen Area can obtain residency by investing in different ways. The exact rules depend on the country, but the following options are frequently available:

In some cases, EU citizenship by investment is possible, however, the EU is urging the few countries left with this scheme to end it. Other states usually allow residents to apply for citizenship after a certain period of time living in the country.

EU GOLDEN VISAS BY COUNTRY

Information about golden visa schemes in EU countries is provided below. As shown, each golden visa country requires a different level of investment.

AUSTRIA RESIDENCE BY INVESTMENT

Austria is considered to have one of the most popular Residence by Investment programmes. The Austrian Golden Visa is available to any foreign national in exchange for investing a significant amount of money.

A minimum of €40,000 must be invested in Austria. The individual must wait 1-3 months to submit their Golden Visa application and wait for the approval.

After 10 years of residency, it is possible to apply for citizenship.

Alternatively, it is possible to get citizenship by investment directly. To do so, a foreign national must either invest €10 million in a business or make a minimum €3 million contribution to a government development fund.

BELGIUM BUSINESS RESIDENCE PROGRAM

The Belgium Business Residence Program is essentially a golden visa. It allows entrepreneurs and investors to set up businesses in Belgium and gain residency.

Nationals of any country may apply. There is no need to physically live in the country to be classed as a resident. Foreign nationals must invest a minimum of €350,000 to apply.

After living in Belgium for 5 years, it is possible to become a Belgian citizen. This involves passing a language test in either Dutch, French, or German.

CYPRUS GOLDEN VISA

New regulations on foreign investors seeking residency in Cyprus came into effect in May 2023.

There have been several updates in response to security concerns. These include changes to:

In addition to these changes, the investment amount of €300,000 has to be paid in full pre-application.

GREECE GOLDEN VISA

Greece’s Golden Visa Program was the most sought after EU golden visa in 2022. The policy allows nationals of non-EU countries to get a residence permit.

This can be done in the following ways:

In all cases, there are special conditions investors must meet to be granted a golden visa for Greece.

Golden visa residence permits are renewable every 5 years. The conditions must still be met at the end of every 5 years.

Foreign investors can get a Greek residence permit within 30-60 days. This can then be renewed every 5 years.

After being a resident of Greece for 7 years, it is possible to apply for citizenship.

IRELAND IMMIGRANT INVESTOR PROGRAMME

The Immigrant Investor Programme (IIP) of the Republic of Ireland is a way for non-EU nationals to get a Golden Visa, also known as an Ireland Investor Visa.

It is necessary to invest at least €1 million in an enterprise or investment fund for at least 3 years.

Another option is to invest a minimum of €2 million in an Irish REIT listed on the Irish Stock Exchange, also for a minimum of 3 years.

Alternatively, foreigners can make a non-refundable donation of €500,000 to a project to benefit arts, culture, education, health, or sport in Ireland.

ITALY RESIDENCE BY INVESTMENT SCHEME

The Italian residence by investment scheme can be accessed in the following ways:

MALTA GOLDEN VISA

There are 2 different Malta Golden Visa options for investors:

1. Malta Citizenship by Investment

2. Malta Permanent Residency Programme (MPRP)

Investors interested in these schemes should check the minimum investment amounts.

SWITZERLAND GOLDEN VISA

There are 2 ways for foreigners to gain a golden visa for Switzerland:

NON-EU EUROPEAN COUNTRIES WITH GOLDEN VISAS

Some non-EU, non-Schengen European countries also offer golden visas to investors. These include:

This page is for informational purposes only. Non-EU citizens interested in any of these residency schemes should seek advice from an immigration lawyer. CBI and RBI schemes can be complex with several factors to take into consideration.