What are Golden Visas and 10 Countries that Hand Them Out?
This article will explore Golden Visas and 10 countries that hand them out. You can skip our comprehensive analysis and proceed directly to the top 5 Countries that Hand Golden Visas Out.
With the growing desire for mobility and opportunities among high net worth individuals (HNWIs), many governments worldwide have implemented "Golden Visa" programs. Such initiatives provide a pathway to residency or citizenship by investment.
What are Golden Visas?
A Golden Visa grants individuals and their families the freedom to live, work, and study in a foreign country. The primary goal of issuing a Golden Visa is to attract foreign investment and stimulate economic growth. By offering residency through a Golden Visa, countries aim to attract HNWIs, entrepreneurs, and investors who can contribute to the local economy by creating jobs, injecting capital, and driving technological advancements.
What does a Golden Visa do? The global recognition of Golden Visas stems from the multitude of benefits they offer. Investors can expand their wealth portfolio, enjoy a higher standard of living, and explore new business and investment opportunities. For host nations, Golden Visas attract foreign capital, drive economic growth, and foster cross-cultural exchanges. These initiatives are available in various countries, each with its own set of eligibility criteria, investment requirements, and advantages. Some programs lead to permanent residency, while others offer a path to full citizenship.
Golden Visa Benefits
Once the Golden Visa is granted, HNWIs and their families can gain various benefits depending on the program. These may include residency rights, access to healthcare and education, tax advantages, and the option to apply for permanent residency or citizenship in the future.
According to the Get Golden Visa whitepaper published in Q2 2022, there are several compelling reasons why Americans are exploring to move outside of the United States. These motivations include a desire to obtain a second passport, seek out captivating historical and cultural experiences, escape social and political unrest, distance themselves from what they perceive as a discouraging ‘American mindset’, alleviate high living expenses, pursue investment opportunities, secure vacation homes, plan for retirement, achieve a better work-life balance, and access potential tax benefits.
The engagement statistics from their research provide valuable insights into the primary reasons driving Americans to seek second residency options, with the following key findings: 42% are driven by concerns about social and political unrest within the US, 29% are motivated by the escalating living costs in the US, 10% aspire to acquire a second passport from a European country, 8% are actively seeking profitable investment opportunities, 6% are pursuing a significant life change, and 5% are strategically planning for retirement abroad.
Golden Visas Demand Surge Amid Mounting Concerns
Bloomberg's report, on August 15, highlighted the growing uncertainty surrounding the future of Golden Visa programs. Members of the European Parliament and Commission, in conjunction with the United Kingdom and Ireland, are collectively advocating for the termination of EU Golden Visa programs.
The primary concern lies in the potential misuse of these programs by individuals with criminal backgrounds or corrupt influential figures. The UK and Ireland have already terminated their Golden Visa program, Greece increased the investment threshold in some regions to €500,000 (approximately $540,000) from €250,000 (approximately $270,000), Montenegro committed to discontinuing its program, and Spain is considering raising the minimum investment to €1 million (approximately $1.1 million) or eliminating it altogether. Despite these efforts, demand for Golden Visas continues to rise.
In reciprocation, the call for a shutdown has yielded positive results for immigration consultancies. For instance, the London-based firm Get Golden Visa saw a remarkable 127% increase in inquiries about Portuguese and Greek Golden Visas during the first half of this year, compared to the same period last year. Moreover, there has been a significant uptick in the number of individuals moving forward with the application process. Government statistics show that Portugal experienced a significant surge in the number of Golden Visas granted in May, reaching a multi-year high of 180. In Greece, this number also witnessed a substantial increase, reaching 412, marking an 87% rise compared to the previous year.
According to the Knight Frank’s Wealth Report, 17th edition 2023, 13% of individuals classified as ultra-high-net-worth (UHNW) are exploring the possibility of obtaining a second passport or citizenship. The report defines UHNWIs as those whose net worth exceeds $30 million. Moreover, 16% of UHNWI clients in Asia, 15% in the US, and 12% in the Middle East are currently considering the acquisition of a Golden Visa or a similar immigration status. This segment of the population is just “the tip of the iceberg,” as "wealth and talent are on the move".
Additionally, the report notes that the newly acquired wealth will be used by investors for different purposes. Some aim for making their money grow (31% of respondents), while others want to keep it safe (26%), and some want to generate income (23%). A rise in investment allocations is anticipated, as nearly one-third of investors are considering property investments as a means to safeguard against inflation and diversify their portfolios.
Now that we’ve discussed what Golden Visas are and its intricacies, let's move on to discuss the countries that hand them out.
Methodology
To explore the topic 'what are Golden Visas and 10 countries that hand them out?’, we engaged with a range of immigration firms including IMI Daily, Immigrant Invest, Migrate World, Global Citizen Solutions, Guide Consultants, and Hubbis to ascertain the countries offering Golden Visa programs and their investment costs. Our assessment involved ranking these visas according to their respective investment thresholds, with the most cost-effective option securing the top position.
10 Countries that Hand Golden Visas Out
10. Indonesia
Golden Visa Investment: $2.5 Million
Indonesia ranks 10th on our list of Golden Visa countries. As per the recently introduced program, individual investors have the opportunity to obtain a five-year residence permit by establishing a company and committing a minimum investment of $2.5 million. To be eligible for a 10-year permit, the investment requirement is raised to $5 million. On the other hand, corporate investors are subject to a distinct set of criteria. Directors and commissioners aiming for a 5-year residence permit must establish a company with a minimum investment of $25 million. For a 10-year permit, the investment threshold increases to $50 million.
9. Saudi Arabia
Golden Visa Investment: $1.05 Million
Saudi Arabia's Golden Visa program commands attention with its substantial minimum investment of $1.05 million, positioning it as one of the more exclusive options in the Golden Visa countries’ 2023 landscape. This program provides two distinct residency paths: a one-year renewable option suitable for those with temporary connections, enabling employment in the private sector, and a pricier permanent residency choice that grants extended stay privileges for both the primary cardholder and their family.
8. UAE
Golden Visa Investment: $545,000
The UAE Golden Visa offers long-term residence in the UAE, granting the freedom to live, work, or study in the country while enjoying a host of exclusive privileges. This visa is available for either 5 or 10 years, depending on the applicant's category, and can be easily renewed under the same conditions. Holders of this visa can travel outside the UAE for extended periods, exceeding six months, without jeopardizing their resident status, and sponsor their family members too.
7. Spain
Golden Visa Investment: $525,000
By investing in the Spanish economy, whether it involves purchasing real estate, investing in public debt, acquiring shares, or initiating a business project, individuals are granted access to the Spain Golden Visa program. Initially, this visa is valid for one year, with the possibility of renewal for two or five years, contingent upon the scale of your investment. After maintaining continuous residence for five years, applicants become eligible to apply for permanent residency, and after a decade, citizenship becomes an option too.
6. Taiwan
Golden Visa Investment: $450,000
The Taiwan Golden Visa is a permanent residence visa for foreign investors and skilled professionals looking to live and work in Taiwan. It comes with benefits like no minimum stay requirement, access to public healthcare and education, family sponsorship, and the possibility of naturalization after five years. There are two main applicant categories: investors who invest a minimum of NT$ 15 million (approximately $530,000) in a Taiwanese company or project, and professionals with a master's degree or higher who earn at least NT$ 160,000 (approximately $5,600) per month.
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Disclosure: None. What are Golden Visas and 10 Countries that Hand Them Out? is originally published on Insider Monkey.