Summary:
In a surprising turn of events, representatives of the European Commission reportedly informed Saint Vincent & The Grenadines Prime Minister Ralph Gonsalves that Caribbean citizenship by investment (CBI) countries would soon lose their visa-free access to the Schengen Area. The European officials made it clear that the revocation was not a matter of if, but when it would happen. However, Caribbean CBI countries have managed to avoid this fate by engaging in bilateral discussions with Europe. This development raises concerns for the future of the CBI industry in the Caribbean region.
Sabah and Sarawak Offer Lower-Cost Alternatives to Malaysia’s MM2H Program
Summary:
While Malaysia’s federal My Second Home (MM2H) program suffered from a decline in applications due to its high costs, the states of Sabah and Sarawak have taken matters into their own hands. Sabah has announced its intention to launch its own version of the MM2H program at significantly lower cost levels. Similarly, Sarawak has continued to offer residency options aligned with the previous, more affordable MM2H program, resulting in a substantial increase in application volume. An interesting feature of the Sabah and Sarawak programs is that participants can reside anywhere in Malaysia while spending 30 days annually in these states, providing applicants with access to the entire country.
Quebec’s Immigrant Investor Program Includes French Language Requirement
Summary:
Quebec’s Immigrant Investor Program, which recently reopened after a four-year suspension, requires applicants to meet a French language requirement. This new condition significantly reduces the market size for the program. However, the program remains the only passive route to residency by investment in Canada. Investors must invest in government bonds, which are considered low risk.
Italy’s Special Tax Regimes Attracting Investor Migrants
Summary:
Although Portugal’s Non-Habitual Residency (NHR) scheme has garnered global attention, Italy’s special tax regimes have been gaining recognition for their even more favorable tax benefits. The country offers three distinct regimes for investors, professionals, and retirees, each capable of reducing effective tax rates to single digits. While Portugal has decided to end its NHR scheme, Italy has retained its special tax regimes, albeit with some discussions regarding the potential termination of the Lavoratori Impatriati regime. This regime allows individuals who become tax residents in Italy to pay taxes on only a portion of their income.
Portugal Enacts “More Housing” Bill, Ending Real Estate Investment Option for Golden Visa
Summary:
Despite President Marcelo Rebelo de Sousa’s initial attempts to veto the “More Housing” bill, the controversial legislation was eventually enacted. This bill eliminates the possibility of real estate investment under the Portuguese golden visa program. This move puts an end to an 11-year period of golden visa-driven urban renewal in the country, which injected approximately EUR 7 billion into the Portuguese real estate market.
Malaysia Government Reviews MM2H and PViP Programs
Summary:
Following criticism from industry stakeholders regarding the lackluster demand for Malaysia’s My Second Home (MM2H) and PViP residence-by-deposit programs, the government has announced its intention to review both programs. The existing programs were considered out of touch with market realities. In December, new rules were issued for MM2H, aimed at providing greater flexibility, albeit falling short of market expectations.
Representative Office Visa Offers Easy Path to Residency in Italy
Summary:
The Representative Office Visa (ROV) in Italy gained attention after it was highlighted as an alternative route to residency without the need for investment. This visa offers a quicker and more cost-effective solution compared to other options. While initially met with skepticism, evidence supports the viability and predictability of the ROV solution.
Portugal Retains Golden Visa Program, with Changes to Investment Options
Summary:
After months of uncertainty, the Portuguese government has decided to keep its golden visa program but with certain changes. The capital transfer and real estate investment options have been eliminated, prompting investors to redirect their investments into the fund route as the lowest-risk option in the absence of these options. However, caution is advised against funds that closely resemble indirect real estate investment.
UK Reinstates Visa Restrictions on Caribbean CBI Countries
Summary:
The United Kingdom’s Home Office dealt a significant blow to the Caribbean citizenship by investment (CBI) market by re-imposing visa restrictions on Dominica and Vanuatu, along with three other countries. Home Secretary Suella Braverman justified this move, citing security concerns. This development poses challenges for the affected countries and their CBI programs, potentially impacting their appeal to international investors.