An IMGW News Report
In the intricate tapestry of European Union politics, the paradox surrounding Citizenship and Residency by Investment (CBI/RBI) programs continues to confound observers. While the EU, led by President Ursula von der Leyen, voices concerns and calls for increased restrictions on these programs to limit access for third-party nationals, numerous EU member states are actively running their own lucrative CBI/RBI schemes. This dichotomy becomes even more striking when considering the involvement of countries such as Austria, Italy, France, Greece, Portugal, Malta, Spain, and Hungary – all engaged in these programs despite the EU’s ostensibly critical stance.
Furthermore, there is a potential for a significant change in the future where Investment Migration becomes a more regulated and recognized pathway for eligible third-party nationals within the EU. The Investment Migration Council (IMC), an organisation that represents Investment Migration players globally, is taking various positions and initiatives to provide valuable solutions. By promoting improved international due diligence and certification of professionals within the industry, the IMC is leading the way towards greater transparency and accountability.
Many nations recognise the opportunities of well-regulated and strictly monitored investment migration pathways for citizens seeking greener pastures abroad. This strategic move not only yields increased Foreign Direct Investments (FDI) but also facilitates talent acquisition and catalyses the local real estate sector.
RBI and CBI programs have long been associated with smaller, vulnerable economies—and for good reason, as they often constitute a significant portion of their GDP. Recent history demonstrates that larger EU states with massive economies, such as Italy, Spain, or France, have also made significant inroads into the sector, now competing with smaller nations for a share of the CBI and RBI cake.
Among these nations, Greece has emerged as a significant player in the realm of CBI/RBI initiatives. Its Golden Visa program, offering residency to investors contributing to the economy and real estate market, has garnered international attention. Similarly, Portugal’s Golden Visa scheme is renowned for its attractive incentives, drawing affluent individuals from across the globe.
Many nations recognize the opportunities of well-regulated and strictly monitored investment migration pathways for citizens seeking greener pastures abroad.
Malta stands out for its Citizenship by Investment program, providing wealthy investors with a pathway to Maltese citizenship through investment. This initiative has sparked both admiration and criticism, reflecting the broader debate surrounding CBI programs within the EU.
Spain, leveraging its strategic location and cultural richness, has embraced residency by investment, attracting investors seeking European residency. Likewise, Hungary has incorporated CBI/RBI programs into its economic development strategy, offering investors a route to Hungarian residency through various investment avenues.
The participation of these EU member states in CBI/RBI programs underscores the complexity of the EU’s position on immigration and investment policies. While advocating for stricter limitations on these programs at the EU level, member states simultaneously promote them as drivers of economic growth, job creation, and global competitiveness.
As the EU pushes for increased tax harmonization, smaller, peripheral states are going to find themselves short on FDI sources increasingly. Cyprus and Malta, in particular, may face challenges. Restricting RBI & CBI initiatives will likely reduce economic growth in more vulnerable economies, making them more dependent on EU handouts.
In navigating this intricate landscape, the EU faces a critical juncture in defining its stance on CBI/RBI programs. Will it continue to espouse restrictive policies while overlooking the practices of its member states? Or will it strive for coherence, consistency, and integrity in its approach to immigration and investment?
The answers to these questions will shape the future of the EU’s engagement with CBI/RBI programs and its broader commitment to upholding the values of unity, solidarity, and prosperity. As member states navigate the complexities of immigration and investment policies, the EU must confront its contradictions and chart a course that aligns with its principles and aspirations for a more equitable and inclusive Europe.