How Does Second Citizenship by Investment Work?

Posted by Josephine Martin on February 13th, 2018

You may have heard the news about being able to buy passports in other countries but just brushed this off as some underworld practice. However, this is a legitimate and lucrative industry that targets high net worth individuals and their families and as the name implies, gives them the option of securing a second citizenship by investment.

You may also be surprised to learn some of the countries that offer this type of programme. Whilst some countries such as Malta are more well known for having a citizenship by investment programme, it is also worth noting that countries such as the UK offer the Tier 1 Visa and the USA offers the USA EB-5 Immigrant Investor Program. Whilst these programmes are not as well known, or should we say not as well publicised, they do offer in exchange for investment the possibility of becoming a citizen of that respective country’s citizenship by investment programme.

If a person can afford it there are many reasons why a person may decide to go through a citizenship by investment programme. It could be that the person is from a more hostile territory or that the current political situation of that country is volatile, and they wish to have the added security of a second nationality to be able to quickly move themselves and their families to safer pastures. Another reason is that a person may seek a second citizenship for fiscal and taxation benefits. The Malta Individual Investor Programme as an example has an attractive tax system for individuals taking up Maltese Citizenship via investment or via a Malta residency programme. Another reason to seek a second citizenship is that a country such as the UK or USA may afford the person a better quality of life that they seek with greater educational options for their children and a more advanced health care system.

Citizenship by Investment programmes usually have several conditions an applicant must satisfy, and this can range greatly depending on which programme a person opts for. Some may require the person to physically reside in the country for a set period, whilst others may be more flexible in how long or when a person must visit or reside in that country. Most programmes usually have an extensive due diligence process, so the applicant and any family members must be deemed “fit and proper”. The actual investment can vary in amounts and ranges from 0,000 to as high as ,000,000 and the options of what you have to invest in also vary from programme to programme, but can include real estate, business, and investments such as government bonds to name a few. The time is taken for a citizenship by investment application also varies and usually works on the premise of the higher the investment the shorter the timeframe.

Finally, most citizenship by investment programmes allows for family members to be included such as children. However, some programmes also allow for parents and even grandparents to be included which allows potentially for the whole family to be moved.

Source URL:

https://medium.com/@josephinemarti/how-does-second-citizenship-by-investment-work-ead74883e9d7

About The Author:

The author’ has an interest in travelling and has an interest in citizenship by investment programmes around the world. She has a particular interest in the Malta residency programmes and the special tax status if offers to applicants of the programme.

Like it? Share it!


Josephine Martin

About the Author

Josephine Martin
Joined: July 11th, 2017
Articles Posted: 13

More by this author