By Piyush Gupta

As global immigration policies tighten, particularly in Canada and the UK, the United States emerges as a promising destination for Indian investors. The EB-5 investor program, especially with recent enhancements like the Set-Aside visa categories introduced by the EB-5 Reform and Integrity Act (RIA) of 2022, offers an attractive pathway to U.S. residency.

Changing Immigration Landscapes

In Canada, public sentiment towards immigration has shifted due to rapid population growth and concerns over housing availability. Similarly, the UK is adopting stricter immigration controls, emphasizing reduced net migration. These developments make traditional destinations less accessible for immigrants, including Indians seeking new opportunities abroad.

A Favourable Environment in the US

Contrastingly, the United States presents a welcoming environment for legal immigrants, particularly following Donald Trump’s election. While Trump is known for his strict stance on illegal immigration, he supports pathways that benefit the U.S. economy, such as the EB-5 investor program. This makes it an opportune time for Indians to consider this route.

Understanding the EB-5 Program

The EB-5 program, established in 1990, provides a direct path to U.S. permanent residency through investment and job creation. Investors must commit a minimum of $1.05 million, or $800,000 if the project is in a rural or high-unemployment area. The program primarily operates through regional centres, which pool capital from multiple investors and focus on indirect job creation.

Set-Aside Visa Categories: A Game Changer

The passage of the EB-5 Reform and Integrity Act (RIA) of 2022 introduced Set-Aside visa categories, significantly enhancing the appeal of the EB-5 program. These categories reserve specific quotas for investments in rural areas (20%), high-unemployment projects (10%), and infrastructure projects (2%). This prioritization accelerates petition processing, reducing uncertainty and stress associated with prolonged waiting periods.

For Indian investors, these Set-Aside visas offer several advantages. They provide priority processing for rural Targeted Employment Areas (TEA), ensuring quicker access to visas. Additionally, the reduced investment requirement for rural and urban TEAs—$800,000 compared to the standard $1,050,000—makes the program more accessible to a broader range of investors.

Direct Path to a Green Card and Educational Benefits

One of the most compelling aspects of the EB-5 program is its provision of a direct path to obtaining a green card. The process begins with filing an I-526 petition, which can be processed in as little as 10 months. Once approved, investors and their families, including unmarried children under twenty-one, can live permanently in the US. The last step involves filing the I-829 application, which typically takes between 22 to 48 months. Upon approval, the conditional status is removed, granting full permanent residency.

Children of EB-5 visa holders enjoy significant educational benefits, including eligibility for in-state tuition fees at public universities. These fees are lower than the out-of-state tuition fees paid by children of H1-B visa holders, providing considerable savings, and making higher education more accessible.

Building Intergenerational Wealth and Family Security

The EB-5 visa not only facilitates immediate residency but also helps build intergenerational wealth for families. By securing a stable future in the U.S., families can invest in property, businesses, and education, laying a strong foundation for future generations. This opportunity to create lasting wealth and security is a crucial advantage of the EB-5 program.

Unlike other popular immigration routes such as the H1-B visa, which ties holders to specific employers and industries, the EB-5 visa allows investors to work in any field or profession across the U.S. This flexibility is a significant advantage for those who wish to explore countless opportunities in the dynamic American market.

Security and Predictability of Investment

The EB-5 program ensures the security of investments through government-approved projects managed by regional centres. These centres manage administrative tasks and reduce risks associated with individual investments, increasing the likelihood of successful job creation—a key requirement for the program.

Moreover, the processing timeline for the EB-5 visa is predictable, ranging from 29.5 to 61 months. This predictability provides a stable path for investors, allowing them to plan their transition to life in the United States with confidence.

Financial Returns and Strategic Benefits

While the primary goal of the EB-5 program is not profit-making, it does offer a clear timeline for financial returns. The initial investment is typically returned with interest after five to seven years. This aspect, combined with the potential for permanent residency, makes the EB-5 program a strategic choice for those looking to secure their future in the US.

A Strategic Step for Indian Investors

In conclusion, amidst tightening immigration policies in Canada and the UK, the EB-5 program stands out as an attractive option for Indian investors. With the introduction of Set-Aside visa categories, the program addresses key concerns such as securing a green card, understanding processing timelines, ensuring investment safety, and knowing the timeline for financial returns. For Indian investors, the EB-5 program represents a strategic step towards achieving the American Dream, offering both immediate benefits and long-term security for their families.

(Author is Vice President, India and Middle East, CanAm Enterprises)

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