The Spanish government through Law 14/2013 introduced a program known as Golden Visa Spain which gives entrepreneurs the opportunity to become Spanish residents by investment. With an investment of €500,000 and above, you gain permanent residency in Spain with home purchase. The investment can either be individually or through a legal entity.
While the Spain Investor Visa Temporary Residence Permit is granted indefinitely, you will need to visit Spain at least once every two years to have it renewed. One of the reasons why people prefer the Spain golden visa citizenship program is because it gives them a passport that allows for Visa-free access to more than 175 other countries. After holding the temporary residence status for 5 years, you are eligible to gain permanent residency and after 10 years, qualify for citizenship.
Why Spain Citizenship by Investment was Launched
The main reason why this program was established in September 2013 was to woo investors into the country to help strengthen the economy. The Spanish real estate sector is one of the key industries in Spain and any investment targeted at this sector is likely to have a ripple effect to other industries.
The choice of €500,000 minimum investment was arrived at after considering the investment climate both in Spain and globally as well as the willingness of investors from other countries to invest here.
Important Spain Investor Visa Statistics
Since its inception in 2013, the Investor Residence Visa Spain program has attracted 2,236 foreigners. This has brought over €2 billion to the Spanish economy. A huge percentage of the investment inflow (72%) was absorbed into the real estate sector with Russian and Chinese millionaires making up 59.4% of the total investors.
A total of €716 million came from 714 Chinese nationals who took advantage of the golden Visa Spain scheme. Russians followed closely with an investment of €567 million.
The Spain citizenship by investment program not only allows you to keep your tax residence outside Spain, but also authorizes you to work and live in Spain.
Limitations of the Spain Golden Visa Program
The expectations of the program to attract Chinese citizens have largely gone unmet because the Spain investor Visa requirements are considered unfriendly and unpopular. It targets the wrong audiences because most Chinese migrants are coming under small and medium-sized enterprises especially in the services sector, others come as students.
Looking at golden Visa Spain vs Portugal citizenship by investment program, you will clearly see that Spain has a long way to go. As a country, Spain is not as popular and attractive. Its laws are badly designed and too bureaucratic.
Italy Golden Visa Program – The Best Alternative
Against a backdrop of a strong and large economy in the eurozone, Italy launched its very own golden Visa program. In the world, Italy’s economy is the eighth largest and fairs on well in all metrics including net wealth per capita, low level of debt, high levels of asset holding, impressive employment levels, and high levels of family savings.
Thanks to the diversified nature of the Italian economy, holders of Italy golden visa permits will have an opportunity to enjoy a much better lifestyle and a high return on their investments. The real estate sector is more dynamic and luxurious compared to its Spanish counterpart. If you would invest in a golden visa program, think Italy!
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