Permanent Residence & Citizenship
With its ideal geographical position at the crossroads of three continents - Europe, Africa and Asia, Cyprus is an ideal investment gateway to the European Union and beyond.
The Cypriot Government has introduced two schemes to attract foreign investment into the country and help its economic growth. One of these schemes is the EU/ Cyprus Citizenship by Investment and the other the Permanent Residence / Immigration Permit, for investors from non-European countries, provided that a set of specific requirements are satisfied. Following the submission of an application, approval for Citizenship is granted within three months, which makes Cyprus one of the fastest and most popular destinations for obtaining a second citizenship. Respectively, fast track application for Permanent Residence permit is processed and approval is granted within two months.
Cyprus / EU Citizenship by Investment
The Citizenship by Investment program grants full Cypriot citizenship to those that invest more than €2 million in real estate and who meet specific criteria. Successful applicants gain the right to live, work and study not just in Cyprus but in all 28 EU member countries, visa-free travel to 158 countries and full citizenship for the applicant and family members.
Any non-Cypriot citizen may apply for Cypriot citizenship through Naturalization by Exception if they meet one of the investment criteria presented below. The qualification may either be done personally or through a company/companies in which the applicant acts as a shareholder or even as a high-ranking senior manager. An important aspect that applies to any of the investment options below, is the purchase and lifetime possession of a property in Cyprus, of at least €500,000 plus VAT, which will be declared as the applicant’s permanent residence in Cyprus. If investment option no. (1) is chosen, then the property will be considered as part of the €2 million investment.
- Investment in real estate, developments and infrastructure projects<The applicant should make an investment of at least EUR 2 million for the purchase or construction of real estate.
- Purchase, establishment, or participation in Cypriot businesses and companies
The applicant must make an investment of at least EUR 2 million in the purchase, creation or participation in businesses or companies that are based and operating in the Republic of Cyprus. These businesses or companies should have a demonstrable and tangible presence in Cyprus and employ at least five Cypriot citizens. - Investment in Alternative Investment Funds or financial assets of Cypriot enterprises or Cypriot organizations licensed by the Securities and Exchange Commission
The applicant should purchase units amounting to at least EUR 2 million from Alternative Investment Funds (AIF).
This criterion also covers the purchase of financial assets of Cypriot businesses or organizations for at least EUR 2 million, in the form of bonds, securities and debt securities. - Combination of the above investments
The applicant may invest in a combination of the above, provided that the total investment amounts to at least EUR 2 million.
The applicant’s investment combination may include the purchase of special government bonds of the Republic of Cyprus of up to EUR 500,000.
As of May 2019, the following changes have been implemented to the Citizenship Investment Program:
- All applicants will have to be in possession of a Schengen visa.
- Applicants who were rejected by another EU country will be excluded from the programme.
- The investment period will be increased to 5 years, instead of 3 years.
- The investor will be able to change his investment, provided that consent is granted from the Ministry of Finance.
- If a residential property had already been purchased under the CIP, the required investment is increased from EUR2m to EUR2.5m. Newly built properties investment will remain at EUR2m.
- Shipping will be included in the investment sectors, while investing in government bonds will no longer be available.
- A planning permit shall be mandatory for properties under construction.
- A further compulsory government donation of EUR150,000 will be required.
- Due diligence and background checks shall be carried out by specialist foreign firms on each applicant.
Cyprus Permanent Residence Permit by Investment
Any non-Cypriot citizen may apply for Cyprus Permanent Residence Permit if the following requirements are satisfied:
- The main requirement is the purchase of new immovable property of a total market value of at least EUR 300,000 plus VAT. The applicant must submit the application form accompanied with a contract of sale and proof of payment of at least EUR 200,000 plus VAT. The contract of sale must have been submitted to the Cyprus Department of Land and Surveys. The property can also be bought by a company provided that the company is registered in the name of the applicant or the applicant and spouse, and they are sole shareholders.
- The applicant must submit a confirmation letter from a Cyprus bank that they have deposited a minimum capital of EUR 30,000 from abroad into an account which will be locked for three years. After the expiration of this period, the money will be released without restrictions.
- The applicant must provide supporting evidence of a secured annual income of at least EUR 30,000 deriving from abroad. This income must increase by EUR 5,000 for every additional child, and EUR 8,000 for each dependent parent. This income may include salaries from employment, rents, pensions, and dividends from shares, etc.
Applications are then processed and permit is granted within two months. Cyprus is popular for its high approval rate, as long as all criteria are satisfied, and the program is considered very attractive due to the fact that the residence applies to the whole family of the applicant and because it is not necessary to reside in Cyprus but instead it is only required to visit once every two years.
If you are a non-EU national looking to obtain Cypriot Permanent Residency or EU Citizenship by investing in Cyprus, the Arazo team is here to guide you and assist you throughout the whole process, ensuring a smooth and fast execution so that you don’t have to worry about anything.
