The Portuguese Golden Visa Scheme has been a popular choice for many investors seeking to gain residency and citizenship in Portugal. This scheme, which was introduced in 2012, offers non-European Union residents the opportunity to obtain a residence permit in Portugal through investment activities. However, recent updates have been made to the scheme, which potential investors should be aware of. This article will delve into these updates and provide a comprehensive overview of the Portuguese Golden Visa Scheme.
Understanding the Portuguese Golden Visa Scheme
The Portuguese Golden Visa Scheme is a legal residency-by-investment program initiated by the Portuguese government. It is designed to attract foreign capital and business people to the country. The scheme provides a fast track for foreign investors from non-EU countries to obtain a fully valid residency permit in Portugal, with the added benefit of visa-free travel within the Schengen Zone.
Investors can qualify for the scheme through various types of investment, including real estate acquisition, capital transfer, job creation, and research activities. The most popular route has traditionally been through real estate investment.
Recent Updates to the Portuguese Golden Visa Scheme
In February 2021, the Portuguese government announced significant changes to the Golden Visa Scheme. These changes, which will take effect from January 2022, aim to redirect investment to low-density regions and away from the high-density areas of Lisbon, Porto, and the coastal regions.
The updates to the scheme include:
- Real estate investments in Lisbon, Porto, and coastal regions will no longer qualify for the Golden Visa Scheme.
- The minimum investment required for capital transfer will increase from €1 million to €1.5 million.
- The minimum investment required for creating jobs will increase from €350,000 to €500,000.
These changes are designed to encourage investment in interior regions and the autonomous regions of the Azores and Madeira, promoting balanced territorial development across Portugal.
Implications of the Updates
The updates to the Portuguese Golden Visa Scheme will have significant implications for potential investors. The exclusion of Lisbon, Porto, and the coastal regions from the real estate investment option may deter some investors. However, it also presents an opportunity to explore other regions of Portugal that offer attractive investment opportunities.
The increase in the minimum investment required for capital transfer and job creation may also impact the decision of some investors. However, it’s important to note that these changes reflect the government’s commitment to ensuring that the benefits of the scheme are spread more evenly across the country.
Benefits of the Portuguese Golden Visa Scheme
Despite the updates, the Portuguese Golden Visa Scheme remains an attractive option for many investors. Some of the key benefits include:
- Residency rights: The scheme provides the right to live, work, and study in Portugal, with visa-free travel within the Schengen Zone.
- Family reunification: Investors can extend the benefits of the scheme to their family members, including spouse, dependent children, and dependent parents.
- Path to citizenship: After five years of legal residency, investors can apply for Portuguese citizenship.
- Low minimum stay requirements: Investors are only required to stay in Portugal for seven days in the first year and 14 days in the subsequent years.
Conclusion
The Portuguese Golden Visa Scheme continues to offer a compelling route to European residency and citizenship. While the recent updates may change the investment landscape, they also present new opportunities for investors to explore. As always, potential investors should seek professional advice to understand the implications of these changes and to navigate the application process effectively.
