An increasing number of people are changing their citizenship and settling in foreign countries. Many nations run different programs to lure foreigners to settle in their country by not only offering lucrative investment opportunities but also citizenship and other tax-related benefits. Golden Visa and Golden Passport are the two immigration routes preferred by those looking to migrate to other countries. Although they are largely similar and sometimes used interchangeably, there are a few differences too.
Golden Visas are ‘residence by investment’ (RBI) schemes that grant you permanent residency rights but no citizenship, whereas Golden passport programs are Citizenship-by-Investment (CBI) schemes that grant you immediate citizenship and a passport.
A golden passport grants entry without a need for a visa to several other nations, which is another noteworthy difference. Golden Visa programs may only be used for domestic travel; they cannot be used to cross international boundaries because they only grant a resident card (or a long-term visa). The only international travel document that is recognized everywhere is a passport.
Golden visa programs are often chosen as a long-term investment by those who do not wish to obtain citizenship right away. Some countries like India do not allow dual citizenship. So, as dual citizenship is not permitted in India, a golden visa program may help maintain one’s current nationality and yet enjoy residency rights in a foreign country.
A golden passport to countries such as this allows for citizenship without the need for prior residency. A golden visa, on the other hand, only grants temporary residence and does not guarantee future permanent residence. While the latter is feasible in some countries, most RBI programs need months or years in the country before becoming eligible for permanent residence.
What is a Golden Passport Program
A Citizenship-by-Investment (CBI) Program is often referred to as a Golden Passport. The majority of CBI projects are supported with preferential tax regimes, which may serve as an important inducement for persons with exceptionally high earnings.
Investor citizenship schemes, sometimes known as ‘golden passport’ plans, allow a person to get a new nationality. Essentially, the foreigner can obtain the ‘Golden Passport’ by making an investment or depositing a specific sum in the host-country government bank account.
Golden Passport plans are distinct from investor residency schemes or ‘golden visas,’ which allow third-country nationals to get a resident permit in the host country under certain conditions. Illustratively, a celebrity can get a Golden Visa even without investing in the host country.
Citizenship by investment schemes, sometimes known as Golden Passports, allow families to get alternative citizenship, allowing them to travel and settle freely in more than 100 countries that have investment migration legislation in place.
Each Golden Passport program has its own set of rules and incentives for investors. To obtain a Golden Passport, one can invest in real estate, government bonds, or make voluntary and non-refundable donations to the host nation. Some countries prohibit real estate investments entirely, while others place restrictions on them.
These kinds of schemes enable investors to gain residency rights in a country by making an investment or creating a certain number of jobs, as is required under the hugely popular American EB-5 visa program.
What is a Golden Visa Program
A golden visa is another word for a residence by investment (RBI) plan, which provides foreigners with temporary residence in a country in exchange for a significant investment or donation in business, real estate, or other areas. While most golden visas include a temporary residence permit, a few nations offer the possibility of converting this to permanent residency after a few years.
Golden visa programs allow high-net-worth individuals (HNWIs) to physically relocate to a favorable jurisdiction and become residents of that state with full legal rights, including the ability to live, work, study, and get healthcare in that country.