Golden Visa Programs: Individuals with the skills and resources to invest should not deter themselves from relocating or investing abroad. Nowadays, we often hear news about people gaining residency in another country by investing in their economy. They do so through Residence Investment programs, also known as the golden visa programs, which require the individual to invest in that country in order to obtain residency rights there. According to the Henley Private Wealth Migration Report 2023 which tracks wealth and investment migration trends worldwide, India is projected to witness a net outflow of 6,500 high-net-worth individuals (HNWIs) in 2023.
Residence investment programs allow high net worth individuals(HNI) to move to a more favorable country and access residence rights, such as the right to live, study, work, and avail of healthcare benefits there. It is another way of becoming a temporary or permanent resident of that country, paving the way for obtaining citizenship eventually.
High-net-worth individuals are descending to foreign countries through residence investment programs in many countries, including the United States, Portugal, Australia, Malta, and Greece. Though each country has its set of requirements, any individual thinking to go with residence investment program should primarily consider the investment requirements and processing time of the application.
Additionally, people hoping for obtaining citizenship there should also look at the minimum time required to live in that country to obtain it.
Australia considered one of the wealthiest countries in the world with extremely high HDI, requires the individual to commit at least AUD 2.5 million to their economy to become a temporary resident of the country. Permanent residents are required to spend at least two years of a five-year period in Australia or demonstrate significant ties to Australia, to be able to maintain their residence status. Though the application processing times differ significantly depending on the type of visa applied but are generally 12 months.
Emerging as Europe’s leading investment location, Malta offers non-Maltese persons the opportunity to acquire a European residence permit in an EU country and visa-free travel within Europe’s Schengen Area. Having a small processing time of about four to six months from submission of the application to approval, the program allows the right to reside indefinitely in Malta along with their family members. However, the individual claiming the residency must meet the minimum contribution of EUR 175,000 mixed capital investment requirements and have in their possession capital of no less than EUR 500,000.
The most sought-after destination for Indians is the USA. For those aspiring to be a permanent resident (or obtain a green card) of USA, the EB-5 Immigrant Investor Program is the most effective way to acquire such status. However, to be eligible for citizenship, green card holders must have lived continuously in the USA for at least five years prior to naturalization.
Given that it is one of the quickest and most dependable ways to obtain a U.S. green card, the proportion of Indians choosing the USA EB-5 Visa has climbed by over 75% since 2019.
If a US business is situated in a Targeted Employment Area, investors may make a direct investment in it or an investment in it worth up to USD 800,000. Alternatively, one has to put $1.05 million into a company in a region with strong employment. In Indian Rupees, to qualify for the conditional green card, the investor must invest a specified amount of capital, typically Rs 8.6 crore or Rs 6.4 crore in a targeted employment area (TEA), and create or preserve a certain number of jobs in the United States.
To put it simply, residence by investment programs allows the exchange of capital investment with the option to immigrate to a more favorable country with the ability to live, work, study, and receive healthcare. It is used by many investors to obtain permanent residency in a particular country as it accelerates the process, which otherwise would have taken a long time.
(Written by our contributor Aashima Yadav)
