The New Malta Citizenship by Investment

July 18, 2021

One of the popular investment programs in Europe is the Citizenship by Investment Program of Malta. The aim of the government is to attract foreign investment and business expertise into the country.

The previous Citizenship by Investment Program of Malta reached the cap of 1,800 applications, that was officially closed and the new program was introduced in November 2020.

Malta Citizenship by Naturalization for Exceptional Services

The Malta citizenship by naturalization for exceptional services program was introduced in November 2020 and offers a secure EU relocation route to citizenship acquisition to all individuals and families who contribute to the nation’s economic development. This program is fast, straightforward, and very efficient.

As a member of the European Union since 2004 and a stable political climate, the government of Malta is reputable for the highest standard of due diligence and vetting of investor applicants to admit only those with impeccable standing.

The new program, Malta Citizenship by Naturalization for Exceptional Services by Direct Investment, grants the applicants citizenship by naturalization which can also be extended to include their families. It focuses on people who have a genuine link to the country.

Upon getting Maltese citizenship and passport, the candidates can set up business in the country and enjoy visa-free travel to more than 185+ countries around the world including the United States.

The investment options for obtaining the Citizenship for Exceptional Services by Direct Investment

The applicants must reside in Malta for a period of three years, or by exception, one year (Fast Track).

The client needs to satisfy all three of the financial requirements.

1^st requirement – Real estate investment:

To purchase a residential real estate: minimum amount of 700,000 EUR

Or,

To rent a property: minimum amount of 16,000 EUR annually (for a period of five years).

2^nd requirement – Capital transfer:

To make a capital transfer: minimum amount of 600,000 EUR (in the case of a three-year residency period– Fast Track),
For each dependent: 50,000 EUR.

Or,

To make a capital transfer: minimum amount of 750,000 EUR (in the case of a one-year residency period),
For each dependent: 50,000 EUR.

3^rd requirement – Donation to charity:

To donate to a recognized charitable organization approved by the Community Malta Agency or to a registered sport, cultural, scientific, philanthropic, animal welfare, or cultural non-governmental organization or society: minimum amount of 10,000 EUR.

New regulations of Malta Citizenship by Naturalization for Exceptional Services for 2021

Some new eligibility criteria are imposed on the recently announced legislation of the Granting of Citizenship for Exceptional Services by Direct Investment (CDI).

According to the new regulations, those foreign individuals and their families who can contribute to the economy of Malta and can meet the stringent tests are eligible for obtaining the citizenship by naturalization. The government of Malta targets only people of the highest standards to the Malta Citizenship by Direct Investment.

The eligibility tests require the applicants to prove that they and their family members are:

Fit and proper,
In good health,
Financially dependent members.

Fit and proper

To be fit and proper to obtain Malta citizenship depends on a number due diligence checks done by both the licensed agent and the Community Malta Agency (CMA).

The applicants must provide clean police conduct certificate from the country where he/she has resided for at least 6 months during the last 10 years and from every country of citizenship. This certificate is required for applicants over 16 years old and reports his/her clean criminal records.

The applicants and any of their dependents are not considered “fit and proper” if:

Indicted or arraigned of an offence at any time before an International Court,
Listed with the International Criminal Police Organization (Interpol) or Europol,
Involved in any activity caused disrepute to Malta,
Listed in international sanctions,
Be an actual or potential threat to the national security of Malta,
Charged or found guilty of terrorism, money laundering, funding of terrorism, war crimes, and crimes against humanity, rape, pedophilia, indecent violent assault such as prostitution and abduction,
Denied a visa to a country with whom Malta has visa-free travel arrangements and not obtained a visa from that country.

Good health

All those who apply for the citizenship of Malta must be in good health and not have a contagious disease or significant health condition. The applicants need to show a declaration attesting to their good health certified by a competent medical body not to become a burden on the public health system of Malta.

Financially dependent members

The main applicants can include spouse and children under 18 years old to the application for Citizenship for Exceptional Services by Direct Investment (CDI).

Other family members can be added if they rely financially dependent on the main applicant and meet the following criteria:

An unmarried and adult child over 18, and not yet 29 years at the time of applying,
Parents or grandparents of the main applicant or spouse at least 55 years old at the time of applying,
An adult child with a disability as defined in the Equal Opportunities Act.

The applicants are required to reside in Malta for a period of 3 years, or by exception, 1 year. Additionally, according to the new regulations, this citizenship program will be limited to providing citizenship to a maximum of 400 successful applicants per year. Also, it will be capped after 1500 applicants have been granted citizenship.

The process for granting of Malta Citizenship by Exceptional Direct Investment

To obtain Malta citizenship, the candidates must first apply for a Residence Permit that allow them to reside in the country and travel visa-free within the Schengen Area of Europe. In order to apply formally for the residency, the applicants require physically to travel to Malta for biometric date. Upon approving, residency status is issued for 36 months and can be extended only if the applicant has submitted a citizenship by investment of Malta.

The applicants can choose between two options:

Apply for citizenship after expiration of 36 months residency status period.
Apply for citizenship after expiration of 12 months residency status period.

To apply for Malta citizenship by investment, you need to have a residency requirement of at least 12 months. Therefore, the applicants would better to begin the residency process immediately if they are not already resident in Malta. After getting Maltese residency approval, the candidate must make the exceptional investment required for citizenship and follow all the procedures.

Finally, upon taking an Oath of Allegiance, a Certificate of Naturalization and a Malta Passport will be issued for all the applicants.

Benefits of Malta Citizenship (Passport)

Fast Processing in 4 to 12 months,
Visa free Travel to over 185+ countries including Schengen state countries, Canada, U.S, and U.K,
Including family members in the application,
Live, work and study in the EU countries,
Zero tax on income,
Flexible Way of life with Affordable Prices,
Citizenship can be transferred to the next generations,
High quality life, education, and health care system.

Tax benefits of citizenship in Malta

Citizenship of Malta by Naturalization for Exceptional Services by Direct Investment makes the applicants free from paying any kind of taxes. If an individual decides to live in Malta, he/she can retain the status of a “non-domiciled” person and enjoys all tax benefits. On the other hand, if the applicants get the residency of Malta but don’t domicile in this country, they only have to pay tax on any income they earn or receive in the country.

In Malta, there are no death or inheritance taxes, no estate duty, no municipal taxes, and no wealth or net worth taxes.

Dual citizenship in Malta

Individuals that obtain a second citizenship by investment in Malta are not required by Maltese law to renounce their existing citizenship. Malta has no restrictions on holding dual nationality. In fact, the applicants can keep both their current citizenship as well as Malta second passport.

For more detailed information on the requirements for obtaining Malta Citizenship by Investment, please contact one of our advisers in the UAE, Denmark or Canada, we will accompany you and your family until you obtain Malta citizenship.

If you have any questions or comments about the Malta Citizenship by Investment, you can share them with us in the comments section.