SFM Offshore

The Cyprus government has recently issued new criteria for the naturalization of foreigners investing in Cyprus. Wealthy investors meeting the newly introduced criteria can obtain Cypriot citizenship.

Naturalization is governed by the Population Records Law 2002 -2011. Traditionally, acquisition of citizenship through naturalization is conditional on the duration of residency while being legally employed in Cyprus and on other factors such as: family relations and the intention to continue living and working in Cyprus after naturalization.

Exceptionally and regardless of the length of prior residency in Cyprus, high net worth individuals and investors can be naturalized on the basis of other considerations. The Council of Ministers may on public good grounds approve the naturalization of an individual making a significant contribution to the Republic. The public good grounds are enumerated in a recent decision of the Council of Ministers.

A foreigner investor may be naturalized if the following criteria are met:

1. Has readily available investments worth at least €10 m which include immovable property, shares or securities registered and issued in Cyprus.
2. Has incorporated a company or companies controlled by the investor, with a turnover of at least €10 m per year in the 3 years preceding the application for naturalization or at least 1/3 of employees of these companies are Cypriot.
3. The investor or companies owned by him or trusts of which the investor is the beneficiary have savings in Cyprus banks of at least €15m. The savings should be deposited for a minimum period of 5 years.
4.  On the basis of the abovementioned criteria, the investor owns property worth at least €15m.
5. Has incorporated companies managed in Cyprus. The companies have in the 3 years preceding the application contributed to the Cyprus economy on average at least €500,000 per year in the form of paying taxes, VAT or purchasing professional services.
6.  Has reached the age of 30, has no criminal record and bought a home in Cyprus worth at least €1m which he or she uses as permanent residence.

If these conditions are met the Council of Minister shall inform the House of Parliament and take the final decision on the applicant’s naturalization. On the basis of current trends it understood that these applications are positively considered by the Council of Ministers and the House of Parliament.

Partager