The Cypriot Government has published amendments to the Cyprus Permanent Residence Programme, an investment route open to non-EU nationals wishing to obtain residency status in Cyprus. The main aim of the amendments to Regulation 6 (2) of the Aliens and Immigration Regulations are to further attract foreign investment and help economic recovery after Covid-19.
While the minimum investment required remains unchanged at €300,000, new investment options have been introduced and thus investment is no longer solely based on real estate purchase. Investors may now invest not only in new residential properties but also in new or resale commercial properties such as shops and offices. In addition, the applicant can now invest in the share capital of a company with physical presence in Cyprus which employs at least five (5) persons. Additionally, investors may also choose to invest in Cyprus Undertakings for Collective Investment in Transferable Securities (UCITS) such as AIF, AIFLNP and RAIF.
The pledging of a deposit in a Cypriot bank account is no longer required, nevertheless applicants should still confirm that they do not intend to undertake employment in Cyprus, apart from the position of a Director in a company that they might have chosen to invest in.
The Investment Options now include the following:
- Investment of €300,000 in a new house or apartment
- Investment of €300,000 in commercial real estate (new or resale)
- Investment of €300,000 in the share capital of a company registered and operating in Cyprus employing at least five (5) employees
- Investment of €300,000 in units of a Cyprus Collective Investment Organisation
Where an applicant chooses options 2 , 3 or 4, he should still present evidence of a place of residence in Cyprus which can be either purchased or rented.
In addition to the main investment the applicant must provide evidence of a secure annual income of at least €30,000, increased by €5,000 for every dependent person (spouse and children) and by €8.000 for every dependent parent or parent-in-law. This income should be generated from abroad in cases where the applicant invests in new residential units, while the income can be generated from within Cyprus in all other cases.
Qualifying Family Members
In the same application for Permanent Residence in Cyprus, the Main Applicant may include:
- Minor children up to the age of 18
- Unmarried adult children between the age of 18-25, provided that they are economically dependent and students in a institution of tertiary education
- Parents of the Main Applicant & the Spouse
An important amendment to the Regulations is that it is now possible for the main applicant to make an investment of a higher value for non-dependent adult children to obtain permanent residence status. The investment of €300,000 must be multiplied according to the number of adult children who will rely on the same investment of the main applicant. In addition each adult child must provide secured annual income of at least €30,000.
Residency under these regulations is acquired within a period of approximately two and a half months through a fast-track process. The government authority responsible for the processing of applications is the Civil Registry and Migration Department who will then forward the application to the Interior Ministry for a decision.
It is important to note that the residence permit may be cancelled in the case that the applicant is absent from the Republic of Cyprus for a period of two (2) years.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.