Portugal’s Golden Visa Emerges Strong as EU Shuts Down Malta Golden Passport

A decision by the European Court of Justice (ECJ) to declare Malta’s ‘Golden Passport’ illegal will have no impact on Portugal’s hugely popular, but significantly different, Golden Visa.

Malta’s Citizenship-by-Investment scheme, known as the Golden Passport, allowed wealthy individuals to obtain Maltese – and, therefore, EU citizenship – in exchange for a substantial financial investment.

But the ECJ found it violated EU law by reducing the acquisition of citizenship to a mere commercial transaction, dependent on predetermined payments or investments.

It required no genuine link or ties to Malta, no requirement of residency of any length of time, and, in the words of the ECJ, represented a “commercialisation of the grant of the nationality of a member state”.

Malta’s government has already said it will comply with the judgment and review its citizenship regulations accordingly.

Portugal’s Golden Visa scheme remains completely unaffected by the ruling, with a host of more stringent requirements which legal experts say will raise no concerns with the ECJ.

Paul Stannard, chairman and founder of Portugal Pathways which assists in facilitating Golden Visa applications, and the Portugal Investment Owners Club, said: “It is good the EU is supportive of individual countries’ residency rules, but wants to close the door to citizenship schemes that have no links or connection with the country whatsoever.

“Unlike Malta’s scheme, which granted citizenship directly, Portugal’s Golden Visa requires applicants to spend time in the country each year and achieve a basic level of the Portuguese language. Citizenship is only available after five years if all criteria are met. It is completely different in terms of why the ECJ stopped the Maltese scheme.”