Cyprus Citizenship by Investment

Article Breakdown

Cyprus has terminated its current citizenship by investment scheme, effective November 1, 2020.

We will go over the specifics of the Cyprus CBI program in this article, as well as identify several alternative citizenship by investment choices.

History of the Cyprus Citizenship by Investment Program

Cyprus Passport CoverThrough property investment, qualifying applicants were able to get Cyprus citizenship in just six months according to the Cyprus Citizenship by Investment Program.

It was the only direct citizenship program in the European Union that offered such an easy option to gain dual citizenship without residency requirements, with a minimum investment of €2,200,000.

Cyprus citizenship by investment allowed applicants and their families to live, work, or study in all 28 European member states, as well as travel visa-free to over 173 countries worldwide once they received their Cypriot passport.

After five years of citizenship, investors could lower their property investment to €500,000.

Investment options

The Cyprus citizenship by investment options were in residential real estate or a combination of real estate and/or other financial instruments to qualify for the program.

Either option included a non-refundable government contribution. After 5 years, both choices allowed for a €500,000 reduction in investment for an indefinitely held residential property.

Option number one

€2,200,000 = €2,000,000 in real estate + €200,000 donation

€200,000 donation: €100,000 was donated to the Cyprus Land Development Corporation, while the remaining €100,000 could be donated to one of the following organizations: Research and Innovation Foundation, Renewable Energy and Energy Saving Fund, Industry and Technology Service, or National Solidarity Fund.

Minimum investment of €2,000,000 (excluding of VAT, if applicable) in residential real estate, with the option of making additional purchases to meet the requisite real estate investment value.

The minimum investment time was established at five years, after which all acquired assets could be sold, releasing the capital. However, in order to preserve Cyprus citizenship, the candidate had to own real estate worth at least €500,000 and use it as their primary residence.

Option number two

€2,700,000 = €2,500,000 Investment plus €200,000 donation

€200,000 donation: €100,000 was donated to the Cyprus Land Development Corporation, while the remaining €100,000 could be donated to one of the following organizations: Research and Innovation Foundation, Renewable Energy and Energy Saving Fund, Industry and Technology Service, or National Solidarity Fund.

€2,500,000 investment in any or all of the following:

  • Residential, commercial, infrastructural, and land real estate (providing the land has development plan in place)
  • Establishment, participation in, or acquisition of a Cyprus corporation
  • Investments in the shipping sector
  • Alternative Investment Funds (AIFs) or Cyprus entities of CySEC-regulated financial assets with operations in Cyprus

The investment had to be held for at least 5 years.

Cyprus Country Landscape Photo

The Benefits of Investing in Cyprus Citizenship by investment

Cyprus is a high-income advanced economy that provided numerous benefits to international investors and businessmen in exchange for their contributions to the local economy. The Cyprus investment program offered the following benefits:

  • EU Passport (Cypriot Citizenship) in exchange for investment
  • After 5 years, the investment was recovered.
  • English-speaking workers who are highly qualified
  • Legislative and regulatory framework that may be relied on
  • Taxation system that is stable
  • Political and social environments that are safe and stable
  • Incentives and tax breaks
  • One of Europe’s lowest corporation tax rates
  • Geographically advantageous site
  • Mild Mediterranean climate
  • Visa-free travel to over 160 countries across the world

Eligibility and requirements

Rounded Cyprus Flag IconIn addition to making the requisite investment, the candidate also had tio meet the following criteria:

  • The primary applicant must be at least 18 years old.
  • All applicants must be in good physical and mental health.
  • No criminal or immigration history.
  • Possession or purchase of a Cyprus permanent residence for at least €500,000. Under either option, this purchase could be included in the €2,000,000 needed investment.
  • Cyprus residence or immigration permit
  • A personal trip to Cyprus
  • Checks for due diligence
  • A 6-month residency is required.

After meeting the 6-month residency requirement and other requirements, investors were rewarded with a certificate of naturalisation. After taking the Oath of Faith, they would be issued a Cypriot passport and ID card.

Alternative CBI options

There are now two investment schemes for obtaining a European passport: citizenship by investment in Malta and citizenship by investment in Montenegro.

Caribbean citizenship by investment programs are less expensive than their European counterparts while providing identical benefits such as visa-free travel to many countries, citizenship for the entire family, tax benefits, and much more.

Caribbean countries for second citizenship investment include St. Kitts and Nevis, Dominica, Antigua and Barbuda, Saint Lucia, and Grenada.

Permanent residence permit in Cyprus

Cyprus Coat of ArmsApplicants can obtain permanent residency in Cyprus through real estate investment. The procedure is one of Europe’s quickest and easiest investment visa programs.

The Cyprus residency permit can be obtained for as little as €300,000 in property investment. The residency visa is granted in two months and applies to the entire family.

The Golden Visa Program includes a residence permit for both the main applicant’s and spouse’s parents, as well as dependent children under the age of 25. It is permanent and can be passed down to dependents and spouses.

The permanent residency status allows for easy travel throughout the European Union and requires only one visit to Cyprus every two years for all family members.

The investment could be made by a company in which the main applicant and his or her spouse have beneficial ownership. If they exceed the €300,000 permanent residency cap, they can invest in a maximum of two properties. The purchased properties must be brand new.

Why choose Cyprus?

Individuals and businesses residing in Cyprus benefit from a particularly favorable tax environment.

Over 80% of the population speaks English, and there are excellent educational facilities on the island, including major UK universities with campuses.

Cyprus has the lowest crime rate in Europe and ranks fifth in the world in terms of safety. Educational institutions and healthcare facilities are of excellent quality.

Cyprus is ideally placed at the meeting point of three continents: Europe, Asia, and Africa. Cyprus will shortly join the EU Schengen zone. Property acquired is freehold, there is a minimal property tax, and there is a 5% VAT reduction on property (subject to conditions).

Get The Latest Updates

Subscribe To Our Newsletter

No spam, notifications only about investment visas & updates.

You might also enjoy