Changes to the Cyprus Citizenship for Investors’ Scheme

2016-09-21

   

In line with the strategy of the Cyprus Government to further attract and encourage high net worth individuals to invest in the economy of Cyprus, on 13th September 2016, the Cyprus Council of Ministers revised the Scheme for Naturalization of Investors in Cyprus by Exception.

 

Key changes and information on the revised Scheme 

  • Reduced level of investment from €5M to €2M. The total investment is now set at €2.5M (€2M investment and €500,000 (excluding VAT) for purchasing a permanent residence). Total investment can be reduced to €2M if the investor invests in residential real estate properties and at least one residential property is of €500,000 (excluding VAT) and is kept for life.    
  • Abolishment of the criterion of collective investments for reduced level of investment. Applications will be submitted on a stand-alone base for an individual investment of just €2M and the purchase of a permanent residence of a minimum purchase price €500,000. 
  • Revised economic criteria now include

(1) buying real estate, land development for residential or commercial use, tourism and other infrastructure projects,

(2) purchasing, registering or participating in Cyprus businesses or companies investing in Cyprus and having tangible presence and substantial economic activity in Cyprus, and

(3) investing in Alternative Investment Funds (AIFs) regulated by the Cyprus Securities and Exchange Commission and investing in Cyprus in investments falling under the criteria of this Scheme.  

 

  • Combination of all economic criteria allowed. The combination of investments may include up to €500,000 of Cyprus Government bonds from the primary market. 
  • Abolishment of criterion of bank deposits.  
  • Parents of the investor can now obtain the Cyprus citizenship after the investor obtains the Cyprus citizenship, provided they purchase a permanent residence of a minimum purchase price €500.000 (excluding VAT). 
  • A permanent residence permit will be issued prior to naturalization unless the investor already holds a residence permit.     

 


 

Other key information

  • The application processing usually takes 3 months
  • Investments need to be kept for at least three years from the date of naturalization, with the exception of the permanent residence which must be kept for life.
  • The applicants must provide a Clean Criminal Record from the country of origin and his/her name should not be included in the list of persons whose property is ordered to be frozen within the EU.

 


 

How can we assist?

  • Conduct an examination of your specific circumstances and advise on the most effective way to meet the criteria
  • Advise on the required economic criteria and conditions as well as the procedure 
  • Assist in finding and acquiring the right property fulfilling the criteria
  • Assisting in drafting and collecting the required documentation
  • Preparing and submitting on your behalf the complete application to the authorities
  • Monitoring the status of the application and briefing you on the progress

In order to proceed to a more specific review of your case, please contact us for further assistance on email: info@consulco.com 

 

DISCLAIMER: This content is for general information only and does not represent legal or professional advice. Any liability for any loss resulting from acting on the basis of this information is expressly disclaimed.