Malta Individual Investor Program (MIIP) 2020

As of the beginning of 2020, nationals of Afghanistan, Chad, Iran, Libya, North Korea, Somalia, Syria, Venezuela and Yemen are not eligible to apply for Maltese citizenship or residency.

Looking to obtain direct citizenship by investment in one of the EU’s most respected member countries? Launched in early 2014, the Malta Individual Investor Program offers non-EEA investors the ability to obtain citizenship and a passport in Malta in as little as 12 months. A Maltese residency card can be issued in under 3 weeks thanks to a fast-track application process, giving the bearer the ability to travel through the Schengen area, visa free, for a period of 18 months.

Requiring a total capital layout of around €1.25 million for a family of 4, the program targets only the truly affluent investor, yet offers applicants a streamlined EU citizenship application process and the ability to obtain one of the most powerful passports in the world.

Find out more about the benefits of the MIIP and Maltese citizenship below, or contact us now for a free confidential consultation.

The Malta Individual Investor Programme at a glance

The Malta IIP is widely regarded as one of the world’s leading citizenship by investment programs. The program was the first CIP to be recognized by the European Commission, and is one of the benchmark economic citizenship programs in the world in terms of their meticulous due diligence standards.

A 2013 amendment to Chapter 188 of the Maltese Citizenship Act, combined with the enactment of Legal Notice LN47 of 2014, serves as the legal basis for Malta’s immigrant investor programme.

Only immigrant investors of exceptional international standing are approved for Maltese citizenship, and the annual application intake is capped at 1,800 slots.

The program is quite unique in a number of respects – starting with the price tag. Unlike with many of the Caribbean golden passport program, the base government donation is  €650,000 – not exactly small change, even for the truly wealthy.

Additional dependents added to your Maltese citizenship application, such as your spouse or dependent children, will be subject to additional donations at €25,000 per extra applicant. These donations are used to fund new Maltese public infrastructure and projects that promote the wellbeing of the country’s citizenry.

In addition to the mandatory donation, you also need to make an additional two investments, one in real estate, and another in no-yield government bonds or stocks. The minimum government bond investment is €150,000, to be held for a period of 5 years.

Another aspect that differentiates Malta’s program from many other CIPs, is the fact that the route to citizenship typically takes a minimum of 9 to 12 months.

The Malta passport program offers a range of compelling benefits, however Maltese citizenship by investment does not come cheap.

Why choose Malta for economic citizenship

EU MARKET ACCESS: Malta has been a committed member of the European Union since 2004, offering foreign investors strategic market access to European markets.

GLOBAL MOBILITY: The Maltese passport is one of the most powerful travel documents in the world, affording the bearer visa free access, or a visa on arrival, to over 180 countries around the world, including the European Economic Area and Switzerland.

QUALITY OF LIFE: Boasting incredible scenery, world class beaches and a sun-drenched Mediterranean lifestyle, Malta is an excellent second home and holiday destination. Offering a stable political climate, thriving economy as well as excellent healthcare and education institutions, it is highly sought after among expats wishing to live or retire there on a permanent basis. 

FAMILY ELIGIBILTY: Maltese citizenship is extended to your family, including your spouse, and unmarried dependent children up the age of 27 years. Any immediate descendants automatically qualify for citizenship once you’ve obtained citizenship, and future generations will qualify for citizenship as well. If your objective is to leave a family legacy, Malta is therefore an excellent option as a second citizenship destination.

TAX-FRIENDLY JURISDICTION: Obtaining Maltese citizenship via the MIIP does not have any consequences for your tax status, unlike, for example, in the USA, where the EB-5 residency application comes with significant tax implications for foreign investors. Even if you decide to relocated to Malta permanently, you can still retain non-domiciled status from a tax perspective, so your offshore earnings remain unaffected. The corporate tax rate in Malta is 35%, which is significantly higher than in Ireland (12.5%), however non-domiciled enterprise owners are eligible for attractive tax breaks.

Malta has double taxation treaties in place with over 60 countries around the world. For so-called non-domiciled residents, only income generated within Malta’s border is subject to taxation. Furthermore, Malta has no estate duties, wealth, net worth, death or inheritance taxes. 

DUAL CITIZENSHIP RECOGNITION: Malta recognises dual citizenship, so you won’t have to give up any of the existing benefits and privileges associated with your native nationality in order to gain Maltese citizenship.

NO LANGUAGE REQUIREMENT: The Maltese economic citizenship programme does not have language requirements: applicants don’t need to be able to speak Maltese or even English in order to apply.

 

Malta CIP Investment Requirements 2020

The investment requirement to obtain Maltese citizenship is significant:

  • GOVERNMENT DONATIONS (NON-REFUNDABLE): Contributions go to the National Development and Social Fund of Malta, and is used to financed projects in areas such as public health, education, social improvement, innovation and job creation. Once your application has been approved in principle, you have 4 months to make the following donations to the fund: 

  1. Primary applicant: €650,000

  2. Spouse: €25,000

  3. Minor children: €25,000 each

  4. Unmarried adult children (aged 18 to 26): €50,000 each

  5. Dependent grandparents or parents: €50,000 each

  • REAL ESTATE PURCHASE OR RENTAL: Applicants must commit to maintaining a registered domicile for a minimum period of 5 years. This can be achieved either by buying a property in Malta with a minimum value of €350,000, or by renting a property for with a minimum annual rental cost of €16,000. In both instances, this is a 5-year minimum commitment.

Evidence of either property rental or acquisition must be submitted within 4 months of receiving in-principle approval of your application from the Maltese government.

  • BOND INVESTMENTS: In addition to the above investment and donation requirements, applicants must also invest a minimum of €150,000 in government-approved financial instruments (either bonds or stocks) for a minimum period of 5 years.

Additional programme application requirements 2020

The MIIP programme requirements and due diligence processes are stringent. In addition to meeting the programme’s investment requirements, applicants have to be 18 years or older, and must meet all of the below additional requirements:

  • Health requirements: Applicants are required to submit qualified proof of excellent health, and may not be suffering from any contagious diseases. In addition, proof of comprehensive and ongoing health insurance coverage is required.

  • Good character requirement: Applicants must have a clean police record and be of impeccable international standing.

 

Malta IIP investments from € 1.25m. Contact us today.

Golden Visas gives you access to South Africa’s leading investment migration experts dealing with the Malta Individual Investor Programme. Whether you’re interested in Maltese residency or citizenship via property investment, our seasoned experts can help you identify the best options for you.

Simply complete the below form and we’ll contact you to schedule a free consultation. Slots are limited, so contact us today and start getting your back-up plan in place.

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