Investing in property abroad is gaining traction among Indian High Net Worth Individuals (HNWIs). Beyond diversifying their portfolios, such investments often open doors to residency or even citizenship in foreign countries.
Binu Varghese, India Head at RIF Trust which specialises in Residency and Citizenship by investment programs, sheds light on the most sought-after international markets and how RIF Trust assists Indian HNWIs in securing a second residency or citizenship.
What are the current trends in investment migration? Are there any shifts in demand for particular programmes or regions?
Interest in European Residency and Citizenship through investment programmes is gaining traction. North American programmes retain their appeal. But European golden visas are challenging the US EB-5 and the Canadian Start-up Visas.
One thinks of the Greek, Portuguese, and Spanish Golden Visas. Let’s also include the Malta Permanent Residence Programme (MPRP) in that question. What they have in common is the chance to travel visa-free throughout the 29 countries making up the Schengen zone.
There’s declining interest in Caribbean Citizenship by Investment from Indian HNWIs. There are two main factors at play here. First they have increased in price in 2024 and second they lead to passports that are less powerful than European or North American travel documents.
RIF Trust has been in the Indian market since we formed in 2013. In 2024, we’ve added a physical office, in Mumbai. That enables us to meet and greet clients who prefer an office setting to an online one.
Which are the most sought-after investment migration programmes and regions currently? What factors are driving this demand?
There are two dominant regions to invest in residency or citizenship. They are North America and Europe. As I’ve already outlined, Caribbean Citizenship by Investment is another area.
Canada is where modern Residency by Investment was born. While Quebec’s programme came, went, and returned, 2013 brought the federal Start-up Visa. This is now the prominent route to Permanent Residency in Canada.
The United States EB-5 Visa dates back to 1990. The US government implemented it to stimulate foreign direct investment. Get a green card, that emblematic ID, and entry to the strongest global economy.
Europe continues to call Indian HNWIs. If you want to grow your business, the EU is a conducive environment. An European golden visa gives you base to expand your operations.
How much do you need to invest for a new residency in Europe, North America, and the UAE?
The Greek Golden Visa carries a price tag of at least €250,000. You can enrol in the Malta Permanent Residence Programme for a mere €100,000. In Portugal a golden visa is available for as low as €168,000, whilst over the border in Spain it costs a minimum €500,000.
Moving over to North America, the currency changes from the euro to dollars, both US and Canadian ones. The Canadian Start-up Visa requires you to invest at least C$275,000. The US EB-5 Visa, meanwhile, will set you back a minimum $800,000.
In the United Arab Emirates, the investment threshold is made available in dollars too. You can invest in a UAE Golden Visa for $550,000. This is in the form of buying into a bricks-and-mortar investment.
How does Citizenship by Investment (CBI) differ from Residency by Investment (RBI)? When would you recommend one over the other?
While those new to the industry can get lost in the world of investment migration, CBI and RBI are well signposted. Citizenship by Investment spells out what it is. As does Residency by Investment.
With Citizenship by Investment, you invest in a option that leads to direct citizenship. This investment could be in real estate, investment funds, or government bonds. In return, you become a national of that company. You are able to qualify for its passport.
Residency by Investment is similar. Instead of nationality, you’re investing in a residence permit. Again, property is a common investment option. In exchange, you become a resident. There are ways to naturalise as a citizen from here.
If you don’t mind surrendering your Indian passport, Citizenship by Investment is best. Yet, an European or North American nationality is stronger than a Caribbean citizenship. The only direct European CBI route is in Malta. Nevertheless, RIF Trust would study and understand your goals and future plans before recommending the ideal solution for you.
How do global events fuel the demand for new citizenships and second residencies?
Investors are becoming more proactive rather than reactive. They want to have a Plan B in place. So, they’re applying for Residency and Citizenship by Investment.
Indian HNWIs also want this Plan B. It’s a privilege to choose based on your needs and desires. High-net worth allows you to rise above political and social pressures.
Residency and Citizenship by Investment is about as push as much as pull. You can remain physically in India but hold a European residence permit, for example. Imagine how much easier business travel will be throughout the EU, enabling you to diversify with altogether less hassle.