To become a citizen of a foreign country, individuals have two options, the first is through citizenship by investment programs where an investor can obtain a passport either by investing a significant amount of money in the country’s economy or by purchasing a real estate property in the country.
The second option is through traditional immigration which typically involves meeting specific criteria such as having a job offer, meeting certain skill or education requirements, having family members who are citizens, or demonstrating a need for protection as a refugee. In this article, we will be comparing the two options and providing information that can help individuals make informed decisions.
What is citizenship by investment?
It is a straightforward procedure that allows foreign investors to obtain passports of nations that provide Citizenship by Investment (CBI) programs by either contributing a non-refundable amount of money to the state fund, purchasing real estate property in an approved project, or investing in government bonds.
Applicants must meet different qualifications depending on the country providing the citizenship, but in general, a specific amount of net wealth and a clean criminal record are needed. There are several countries that provide citizenship such as the Caribbean countries, Turkey, Malta, and Vanuatu, or residency by investment such as Greece, Cyprus, Portugal, and Spain. The citizenship provided by some Caribbean countries is irrevocable and granted to qualified applicants for life within a period not exceeding 6 months and without any residency requirements.
What is traditional immigration?
It refers to the process of permanently moving from one country to another for various reasons, such as employment, education, family reunification, or seeking refuge. Unlike citizenship by investment programs, traditional immigration typically involves meeting specific criteria and going through established immigration channels. Most countries have immigration categories or visa programs that cater to different purposes, such as work visas, student visas, family-based visas, skilled migration programs, humanitarian, or refugee visas, and more. Each category has its own eligibility requirements, such as having a job offer in the destination country, meeting certain skill or education requirements, having family members who are citizens or permanent residents, or demonstrating a need for protection as a refugee or asylum seeker.
Application process for CBI programs Vs. Traditional immigration
CBI Programs
For citizenship by investment programs, applicants are required to submit an application through an authorized agent and successfully pass a thorough due diligence process. Investors must provide a non-refundable contribution to the state fund or purchase a real estate in a government-approved project for a minimum of $200,000, in addition to paying applicable government fees. Most of the CBI programs do not require specific business experience, education, or language
Immigration
On the other hand, the application process for traditional immigration involves submitting various documents, such as passports, identification, educational certificates, work experience records, financial statements, and medical examinations. It may also require background checks, interviews, and language proficiency tests. However, each country has its own immigration policies and regulations that govern the entry and stay of foreign nationals. These policies may be subject to change and can include quotas, priority lists, sponsorship requirements, age limits, and other factors that influence the selection of immigrants. But in general, a person must have been a resident of the nation for a specific period of time, have a clear criminal history, and fulfill other conditions, including language competence. An application must typically be submitted, a meeting must be attended, and a citizenship exam must be passed.
Benefits and advantages
Citizenship by investment
Acquiring a citizenship or passport through investment provides its holders numerous advantages, including global mobility, visa-free access to more than 130 destinations, including the Schengen area, and tax exemptions. It might also provide access to new business opportunities and open doors to new markets and commercial prospects. It allows the applicant and his family to live, work, and own a property that would pass on to their entire generation and benefit from their world-class health and educational services, as well as their safe political and social environment.
Traditional immigration
Traditional naturalization has a number of benefits, the most important of which is giving individuals the chance to obtain social services and integrate into the culture and society of a new nation. The regular naturalization process does not require a substantial investment like CBI programs; that’s why it may be less expensive than citizenship by investment, but the procedure might take longer due to the need for a longer residency, and it might require renunciation of one’s current citizenship. Additionally, this process may give an individual improved mobility, allowing him to travel freely. Although traditional immigration can present challenges such as language barriers, discrimination, and cultural adjustments, host countries often aim to facilitate immigrant integration through support programs, language training, and community initiatives.
Which route is preferable?
For those who can afford it, citizenship by investment offers a faster and simpler route to citizenship, with the potential for more mobility, essential tax advantages, and access to new business prospects. However, it requires a substantial financial outlay. For those who value deeper integration into a new country’s culture and society and access to social services and benefits, traditional immigration may be a better option. That’s why the decision between traditional immigration and citizenship by investment depends on the priorities and circumstances of the individual himself.