Southern Cyprus Business Register – Citizenship by Investment

What is the Southern Cyprus Permanent Residency by Investment (Golden Visa)?

The Cyprus Permanent Residency by Investment program, often referred to as the “Golden Visa,” offers a fast-track route for non-EU/EEA/Swiss nationals to obtain permanent residency in Cyprus through a qualifying investment. This program aims to attract foreign investment and contribute to the Cypriot economy. While it’s not a direct citizenship program, it provides a stable foundation for long-term residence in the EU, with the possibility of applying for naturalization after several years of residency.

It’s crucial to understand that the direct “Citizenship by Investment” or “Golden Passport” program in Cyprus was suspended on November 1, 2020. The current active program is for Permanent Residency by Investment.

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Purpose of the Cyprus Golden Visa

The primary purpose of the Cyprus Golden Visa is to stimulate the Cypriot economy by attracting foreign capital. It provides investors and their families with the benefits of living in a stable European environment, including access to quality healthcare and education, and the freedom of movement within Cyprus. It also serves as a long-term strategy for individuals seeking eventual EU citizenship, provided they meet the naturalization criteria.

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Eligibility Criteria for the Cyprus Golden Visa

To be eligible for the Cyprus Golden Visa, applicants must meet several key requirements:

• Non-EU/EEA/Swiss National: The applicant must not be a citizen of an EU, EEA, or Swiss country.
• Minimum Age: The main applicant must be at least 18 years old.
• Clean Criminal Record: All adult applicants and dependents must have a clean criminal record from their country of origin and any country of residence.
• Qualifying Investment: A minimum investment of €300,000 in one of the approved categories.
• Annual Income: The main applicant must demonstrate a secure annual income of at least €50,000 from sources outside of Cyprus. This amount increases for dependents:
  • €15,000 for a spouse.
  • €10,000 for each dependent child.
• Health Insurance: Proof of health insurance coverage in Cyprus for all applicants and dependents.
• No Employment Intention in Cyprus: The applicant must declare that they do not intend to undertake any form of employment in Cyprus, except for holding a directorship in a company in which they have invested.
• Visit Requirement: Permanent Resident Permit holders are required to visit Cyprus at least once every two years to maintain their status.

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Investment Options for the Cyprus Golden Visa

Applicants can choose from several investment options to qualify for the Cyprus Golden Visa, each requiring a minimum investment of €300,000 (plus VAT, where applicable):

• Investment in Residential Property:
  • Purchase of one or two new residential properties (apartments or houses) with a total value of at least €300,000. These properties can be acquired from different developers.
  • The property purchased must be a first-time sale; resale properties generally do not qualify.
  • The full amount of the investment must be paid and funds must originate from abroad.
• Investment in Commercial Property:
  • Purchase of one or two commercial properties (offices, shops, hotels, etc.) with a total value of at least €300,000. These can be new or existing businesses.
• Investment in Share Capital of a Cypriot Company:
  • Investment of at least €300,000 in the share capital of a company that is registered and operates in the Republic of Cyprus.
  • The company must have a physical presence in Cyprus and employ at least five people.
• Investment in Units of Cyprus Investment Funds:
  • Investment of at least €300,000 in units of the Cyprus Investment Funds Association’s collective investments (AIF, AIFLNP, RAIF).

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Application Process for the Cyprus Golden Visa

The application process for the Cyprus Golden Visa is typically streamlined and efficient:

1. Step 1: Choose Your Investment: Select the investment option that best suits your needs and financial goals.
2. Step 2: Make the Investment: Complete the chosen investment, ensuring all funds are transferred from abroad and documented properly. For property, a minimum of €200,000 (excluding VAT) must be paid upfront.
3. Step 3: Gather Required Documents: Collect all necessary personal documents, including valid passports, birth certificates, marriage certificates (if applicable), clean criminal record certificates, proof of income from abroad, and health insurance. Documents often require certified translation into English or Greek and apostille/legalization.
4. Step 4: Submit Your Application: Submit the complete application package to the Civil Registry and Migration Department of Cyprus.
5. Step 5: Biometric Data Collection: Applicants are required to visit Cyprus in person to provide biometric data.
6. Step 6: Application Processing and Approval: The application is reviewed by the Cypriot authorities. The processing time is generally efficient, often within 2-3 months.
7. Step 7: Obtain Your Permanent Residency Permit: Upon approval, the permanent residency permit is issued.

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Benefits of the Cyprus Golden Visa

The Cyprus Golden Visa offers numerous advantages for investors and their families:

• Permanent Residency in an EU Member State: Gain the right to reside permanently in Cyprus, an EU member country.
• Family Inclusion: The program allows for the inclusion of the main applicant’s spouse, financially dependent unmarried children under 25, and children of any age with physical or mental disabilities.
• Pathway to Citizenship: After 7 years (2,555 days) of legal residency within a 10-year period, with a continuous stay of at least 12 months immediately preceding the application, permanent residents may be eligible to apply for Cypriot citizenship by naturalization.
• High Quality of Life: Enjoy a Mediterranean climate, a safe environment, and a high standard of living with access to good healthcare and educational facilities.
• Business Opportunities: While direct employment is restricted, Golden Visa holders can own a Cypriot company and receive dividends. Cyprus also offers a favorable tax regime, making it attractive for business.
• No Language Requirement: There is no language proficiency test required for the Golden Visa application.
• Visa-Free Travel within Cyprus: Live and travel freely within Cyprus. (Note: This is not a Schengen visa for free movement across the entire Schengen Area).

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Important Considerations and Updates for 2025

• Suspension of Direct Citizenship Program: As reiterated, the direct Citizenship by Investment program was suspended in November 2020. Be wary of any misleading information suggesting otherwise.
• Focus on Permanent Residency: The current program is strictly for permanent residency, with citizenship being a separate naturalization process after a significant period of residency.
• Due Diligence: The Cypriot authorities conduct thorough due diligence checks on all applicants to ensure the legitimacy of funds and a clean background.
• Market Fluctuations: While property investment is popular, it’s essential to consider market conditions and seek independent financial advice.
• Ongoing Requirements: To maintain permanent residency, a visit to Cyprus at least once every two years is mandatory. Income and criminal record checks may also be required periodically.

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Final Thoughts

The Southern Cyprus Permanent Residency by Investment (Golden Visa) program remains a valuable opportunity for non-EU nationals seeking long-term residence in a European Union country. While it does not offer immediate citizenship, it provides a secure and stable pathway to European living, with the eventual possibility of naturalization. Understanding the distinction between the suspended Citizenship by Investment program and the active Permanent Residency program is crucial for any potential investor.

For further details and personalized advice, it is recommended to consult with experienced immigration legal professionals.