Tag Archive: Golden visa

1. Greece Raises Golden Visa Investment Threshold

   7 April 2024 12:51 pm Leave a Comment

   Greece Raises Golden Visa Investment Threshold – Introduction

   In a  move stated as an attempt to alleviate its ongoing housing crisis, Greece has announced significant changes to its Golden Visa program, effectively raising the required investment for prospective foreign investors.

   Initiated in 2014, the Golden Visa program has been instrumental in attracting foreign investment by offering a renewable, five-year residence permit in exchange for a 250,000-euro property investment.

   What is the new investment threshold?

   As of  31 March  the investment threshold will see a substantial increase, with a new minimum set at 800,000 euros for properties in high-demand regions including Attica, Thessaloniki, Mykonos, Santorini, and islands with populations exceeding 3,100.

   For other areas, the starting investment requirement will be adjusted to 400,000 euros.

   Why move the goal posts?

   This adjustment comes in response to a significant surge in rental prices, which have escalated by 20 percent since Greece emerged from a nearly decade-long financial downturn in 2018, as reported by the Bank of Greece.

   Under the revised guidelines, investors are now obligated to purchase properties of at least 120 square meters.

   For those investing in historic properties or industrial buildings repurposed as residential spaces, the investment floor remains at 250,000 euros.

   Data from the Migration Ministry highlights the program’s popularity, with a record 10,214 visa-related applications filed last year, including both new acquisitions and renewals.

   Out of these, 5,701 Golden Visas were issued in 2023 alone, with an additional 8,800 applications still under review.

   A victim of its own success?

   The total investment channeled through the program in the past year reached at least one billion euros.

   Despite the program’s success in drawing investment, the Association of Public Limited Companies and Entrepreneurship (SAE/E) has expressed skepticism regarding the government’s objective of lowering housing prices and enhancing the availability of long-term rental properties.

   The Greek property market and construction sector, which suffered dramatically during the financial crisis that began in 2008, have seen over 20,000 permanent residence permits issued to real estate investors to date.

   Notably, in 2021 alone, 6,405 Chinese nationals were granted residence permits under this scheme, according to data from the migration and foreign ministries.

   Greece Raises Golden Visa Investment Threshold – Conclusion

   The Greek government’s decision to increase the Golden Visa investment requirement is a bold step towards addressing the housing affordability crisis and ensuring that the program contributes positively to the nation’s economic and social landscape.

   Final thoughts

   If you have any queries on this article called Greece Raises Golden Visa Investment Threshold, or Greek tax matters in general, then please get in touch.

2. Golden Handshake – Australia bids farewell to Golden Visa

   30 January 2024 9:00 am Leave a Comment

   Australia Bids Farewell to Golden Visa – Introduction

   In a decisive move, Australia has terminated its “golden visa” program, initially designed to attract wealthy foreign investors by offering them residency.

   The decision, a part of a broader immigration overhaul, comes after assessments revealed the scheme was underperforming in driving desired economic outcomes.

   The program faced criticism for becoming a conduit for corrupt officials to transfer and conceal illicit funds within the country.

   A Snapshot of the Golden Visa’s Journey

   Since its inception in 2012, the significant investor visa (SIV) program has seen a predominant influx of applicants from China, representing 85% of the successful candidates.

   The program required a substantial investment of over A$5m (£2.6m; $3.3m) in Australia, positioning itself as a catalyst for foreign investment and innovation.

   However, reviews and government scrutiny exposed that the scheme fell short of its fundamental goals.

   As a result, Australia’s government has chosen to shift its focus towards nurturing a pool of “skilled migrants” who promise to make substantial contributions to the nation’s development.

   Voices of Advocacy and Concern

   Home Affairs Minister Clare O’Neil‘s statement echoed a longstanding sentiment that the visa was not aligning with Australia’s economic and societal needs.

   Transparency advocates like Clancy Moore from Transparency International Australia lauded the decision, highlighting the misuse of golden visas by corrupt elements as a channel for parking illicit wealth.

   The scheme’s integrity had been in question for years, with concerns ranging from money laundering to offering refuge to individuals with lesser business acumen than initially anticipated.

   A Global Context

   Australia’s decision is part of a growing global trend where countries are reevaluating and, in some cases, discontinuing their golden visa programs.

   The UK, for instance, terminated a similar initiative due to apprehensions about the influx of illicit funds, particularly from Russia.

   Malta’s rapid citizenship grants to wealthy non-EU nationals also faced scrutiny, sparking debates over the potential for money laundering, tax evasion, and corruption.

   Australia Bids Farewell to Golden Visa – Conclusion

   As Australia turns a new leaf in its immigration policy, the focus is now on attracting talent that aligns with the nation’s growth trajectory and values.

   While the golden visa scheme aimed to bring in investment, the shift towards skilled migration underscores a commitment to fostering genuine talent and expertise.

   This strategic pivot not only reflects Australia’s dedication to maintaining the integrity of its borders and economy but also sets a precedent for other nations navigating the complex interplay between wealth, mobility, and security.

   Final thoughts

   If you have any queries about this article called Australia Bids Farewell to Golden Visa, or Australian tax matters, then please get in touch.