Author: Niu Ltd

As parts of the globe cautiously begin to open up, the focus is on what travel freedom and global mobility will look like in a post–Covid-19 world, notes Henley & Partners, the global leader in residence and citizenship planning.

Every two weeks, the EU releases a list of countries whose residents would be allowed entry into the bloc based on coronavirus-related health and safety criteria.

Included on the latest welcome list are countries such as Australia, Canada, Japan, and South Korea that traditionally score highly on the Henley Passport Index (HPI) – the original ranking of all the world’s passports according to the number of destinations their holders can access without a prior visa. However, in a move perceived as a stinging rebuke for its poor handling of the pandemic, the US was notably excluded from the list, as were Brazil, Russia and even Singapore.

Although not reflected in the latest ranking, which does not take temporary travel bans into account, it is eye-opening to consider what travel freedom currently looks like for the holders of these once-prestigious passports.

For instance, before Covid-19, a Singaporean passport would usually rank between first and second place on the HPI, with its holders being able to access 190 destinations around the world without requiring a visa in advance. However, under the current EU ban, Singaporeans can travel to 27 fewer countries visa-free. They now have roughly the same travel freedom as citizens of Barbados or Israel.

As for the US, its passport is usually ranked within the top 10 on the HPI in 6th or 7th place. With the US now being kept off the EU list of ‘safe countries’, US nationals now have roughly the same level of travel freedom as citizens of Mexico (25th on the index, with a score of 159), current travel bans notwithstanding, albeit temporarily.

This is one of many extraordinary shifts in passport power caused by the temporary pandemic-related bans. Brazilian passport holders, for example, find their passport strength greatly diminished. The country usually ranks highly on the index ¾ most recently placed 19th, with a visa-free/visa-on-arrival score of 170 ¾ but the loss of access to the EU means Brazilians currently have roughly the same extent of travel freedom as citizens of Paraguay (36th on the index, with a score of 142).

Without taking the various travel bans and restrictions into account, Japan continues to hold the number one spot on the Henley Passport Index with a score of 191. Singapore remains in 2nd place with a score of 190, while Germany and South Korea are in joint-3rd place, each with a score of 189. Both Japan and South Korea have been included on the EU’s list of admissible countries, while Singapore has been excluded, which means Singaporean passport holders currently have far less travel freedom than their closest competitors on the index, which is based on exclusive data from the International Air Transport Association (IATA).

Dominic Volek, Head of Southeast Asia and Group Head of Sales for investment migration firm Henley & Partners, says the EU’s recent decision will have far reaching effects. “These last few months have shown us that the current pandemic has adversely impacted something which a lot of people normally take for granted, our travel freedom. The US passport is a perfect example of what this means. In 2014, it held the number one spot on our global passport ranking, but now with US nationals being effectively locked out of Europe, they currently have far less travel freedom than even some lesser developed nations.

“The latest decision by the EU is just the start of more upheaval to come. There is now an emergence of a new global hierarchy in terms of mobility; countries that have effectively managed the pandemic are taking the lead, while countries that have handled it poorly, are falling behind,” said Volek.

Immigration controls in US and UK tighten amid calls for co-operation

While the US looks set to be significantly affected by the EU’s latest decision, it has issued stringent immigration controls of its own over the past few months. Greg Lindsay, Director of Applied Research at NewCities, says that the Trump administration’s temporary suspension of all work visas will have far-reaching effects. “The executive order, signed on the 22nd June, will bar as many as 525,000 foreign workers from entering the country for the rest of the year.” As Lindsay points out, this decision is only the latest salvo in White House aide Stephen Miller’s years-long campaign to curtail worker visas, arguing that they harm employment prospects for Americans.

In the UK, the pandemic’s effect on mobility has also been severe. Robert McNeil, Deputy Director of the Migration Observatory at the University of Oxford, says that the almost complete cessation of international arrivals into the country has generated serious challenges for industries that have become dependent on seasonal migrant workers from the EU. McNeil says that despite public attitudes around immigration softening, the Brexit process has not slowed down. “In May, the government pushed through the new Immigration Bill, paving the way for a new ‘points-based’ immigration system. The new restrictions would prevent many people from becoming key workers in the UK in future. Around half of the EU citizens currently in key worker positions in the UK would not meet the new salary and skills thresholds required to move to the country from 2021.”

Changing priorities in a transformed world

As premium passports lose their shine in a post-Covid world, experts suggest that the crisis is likely to make international mobility more restricted and unpredictable in the longer term. “Even as countries open their borders, it is expected that numerous governments will use epidemiological concerns as a justification for imposing new immigration restrictions and nationality-targeted travel bans that will mainly be aimed at citizens of developing countries,” says Prof. Dr. Yossi Harpaz, Assistant Professor of Sociology at Tel Aviv University. Noting the recent decision by the EU with respect to the US and other countries, Harpaz says, “The passports of both developing and developed nations stand to decrease in value, at least temporarily. In such uncertain times, global demand for dual citizenship and investor visas is expected to increase.”

Discussing the impact of the pandemic on global migration trends, Charles Phillips, researcher and consultant for Oxford Business Group, suggests that environmental health concerns could become a priority for those seeking alternative residence or citizenship. “We can expect places that are governed well and better equipped to deal with pandemics to become destinations people will seek to move to. Just as travel choices will likely be more strongly influenced by health considerations, we may see those acquiring alternative residence or citizenship placing a greater emphasis on a country’s health policies when deciding where to reside.”

Volek added that the growing demand for additional residence and citizenship options comes as no surprise. “Everything that we thought we knew and were accustomed to has been turned upside down on its head. Holding a second citizenship or alternative residence is now more an asset than ever before, as concerns over access to first-rate healthcare, global mobility, and quality of life take on a new urgency.

“In turn, investment migration programs have provided an invaluable stimulus for economic recovery to the countries have been bit hard by the pandemic. As we enter the worst recession since the Great Depression, a small country like Montenegro, for instance, is better equipped to weather the storm. The recently launched Montenegro Citizenship-by-Investment Program provides permanent access and the right to stay in this beautiful and safe European country. It also provides the country with an immediate liquidity injection of much needed debt-free foreign capital that can be used to buffer the impact of the pandemic and create significant societal value.”

Source: hubbis.com
Published: 28 July 2020

In a bold move to protect the integrity of its Citizenship by Investment (CBI) Programme, Grenada is promising to take action against all agents found to be illegally discounting the investment amount under the approved project arm of its Programme.

Intentionally underselling the cost of real estate investments under Caribbean CBI Programmes is a reprehensible practice that, if allowed to go unchecked, could lead to disastrous consequences for the Caribbean. Not only do such practices exhibit a blatant contempt for the law governing CBI programmes, they alienate the many agents who adhere stringently to the terms of the programmes to which they are accredited, and cheat Governments and their citizens out of valuable foreign direct investment.

False advertisement has been known to take various forms, including through inducing applicants to invest amounts below the minimum threshold by returning monies in the form of substantial incentives or commissions. Another example is the promotion of share repurchasing arrangements taking place before the end of applicable minimum hold periods. As is the case in all Caribbean CBI jurisdictions, real estate investments must be held for a minimum number of years before being re-sold. Where an economic citizen sells real estate before the end of this statutory period, strict sanctions apply and, in some cases, include the revocation of citizenship and disqualification from further participation in the relevant programme.

The rogue agents who participate in undercutting do so not only at the expense of small countries seeking investment, therefore, but also at the expense of unsuspecting investors, who could find themselves facing the loss of their citizenship. This risk was highlighted by Sam Bayat, former president of the International Section of the Canadian Bar in Quebec and CEO of citizenship consultancy and law firm, Bayat Group. While talking with WIC News Bayat warned that applicants who obtain citizenship through illegally discounted real estate investments “could lose their investments or have their citizenships revoked.”

Recently, WIC News exposed the price undercutting scam by some agents and developers in the Caribbean, raising ears of the governments. The shameful attempts to misrepresent the costs of real estate are the reason behind “CBI Projects are turned into cash cows in the Caribbean,” said Sam Bayat.

The effects of adverse promotional practices on Caribbean CBI jurisdictions are felt in numerous ways. Firstly, undercutting implies that the real estate in question is not worth the cost at which it is advertised, thus disincentivising investments in real estate and causing real estate markets to suffer from a lack of demand. Undercutting even devalues the benefits of applying under the fund options of Caribbean CBI Programmes. Many applicants choose the fund option, despite not being able to obtain a return-on investment, because it is a one-time contribution at a lower cost than the real estate option. When real estate is promoted at a lower threshold than the fund option, the incentive to contribute to the fund is thereby eradicated and Governments are denied the opportunity to invest in much-needed economic growth and diversification.

Cognisant of the detriment undercutting can cause, Percival Clouden, CEO of the Grenada Citizenship by Investment Committee, issued a cautionary circular on behalf of the Committee to all industry stakeholders on 22 July 2020. Addressing all Marketing and Local Agents, the Committee warned that actions which discount the investment below the minimum amount prescribed by law “are illegal and in breach of the Grenada CBI Act and Regulations” and further announced that an investigation is being conducted into the matter.

Transparency and integrity are at the heart of CBI in the Caribbean and it is shameful that there are a handful of agents willing to tarnish the reputation of the CBI industry, despite witnessing first-hand just how vital CBI has been for certain Caribbean nations. As such, a zero-tolerance approach must be taken when it comes to undercutting. In addressing the illegality of underselling practices and attempting to foster adherence to the rule of law, Grenada is setting an excellent example to which other Caribbean CBI countries should take heed.

Apart from this, reliable government sources in Caribbean region revealed that several countries which offers CBI Programme are taking the lead of Grenada’s action against offenders. On condition of anonymity, senior government official of Caribbean island said that most of the governments in Caribbean are going to introduce such circular to halt abuse of the “Prestigious Programme”.

Source: wicnews.com
Published: 23 July 2020

Home secretary Priti Patel says BNO visa changes were ‘proportionate response’ to China’s increasing control over the city.

The British government has outlined its pathway to citizenship for millions of overseas nationals in Hong Kong wanting to flee growing control exerted by Beijing over in the semi-autonomous city.

The changes allow holders of British National (Overseas) status (BNO) and their immediate families to apply for entry visas from January 2021, for either two periods of 30 months or a single period of five years.

After five years they can apply to settle in the UK, and for citizenship after a further 12 months.

The initial announcement earlier this month angered the Chinese government, which has also fuelled concerns that even those with British citizenship were now at greater risk.

On Wednesday, the British home secretary, Priti Patel, said China’s introduction of national security laws on Hong Kong breached the Sino-British joint declaration outlining the terms of the 1997 territorial handover, and “could not be ignored”.

Patel said the BNO visa changes were “proportionate response” to the situation and “very generous”.

Entrants have the right to work or study, but no access to social welfare. They must pass health and criminal checks, be demonstrably able to support themselves financially for at least six months and prove they hold BNO status, but do not need a current or valid passport.

The new rules vastly expand the options for BNO holders, who at present can stay in the UK without a visa for only six months.

BNO status was given to Hong Kong residents who applied prior to 1 July 1997, when the British government formally handed over the former British territory.

Early reports on the UK visa changes prompted widespread concern about young adults born between 1997 and 2002 who were no longer a dependent of their BNO parents, particularly given their age group most often rallied at pro-democracy protests and now potentially felt at risk under the new security laws.

In response, Patel said UK authorities would have discretion to grant a visa to these young people in “compassionate and compelling circumstances” if they were still dependent on their BNO parent or guardian. Alternatively, they could apply for the existing youth mobility scheme.

Hong Kong Watch’s Director, Johnny Patterson, welcomed the announcement and its provisions for young adults, but said there were still some gaps. He called for other countries to step in and “establish an international lifeboat policy”

There are also concerns about the risk to people with a particular kind of British citizenship living in or travelling through Hong Kong. In the years leading up to the 1997 handover about 50,000 Hongkongers were granted full British citizenship under the British Nationality Selection Scheme (BNSS).

However China does not recognise dual citizenship, BNO status, or citizenship gained through the BNSS, and the Guardian understands it is not possible for BNSS citizens to renounce Chinese citizenship, because the form requires a declaration that the applicant’s foreign citizenship was not obtained through the scheme.

While the catch-22 has always existed, some now fear it poses a far greater risk with the national security laws, which Beijing says can be applied to anyone, anywhere.

Leo, the son of BNSS citizens living in the UK and who did not want to publish his surname, said: “It would be unwise and dangerous for me to go back to Hong Kong, that includes connecting flights at Hong Kong airport or going on a plane owned by Chinese companies.

“I believe that if British nationals don’t renounce their Chinese nationalities, it’s quite possible that Chinese authorities would impose their laws on Hongkongers living overseas as well.”

Leo feared there may be unlawful abductions of dissidents. “Our safety is not guaranteed until the UK government imposes drastic measures to counteract the grip of the Chinese government here in the UK.”

China’s foreign ministry has previously accused the UK of breaching international law by offering BNO holders residency, and threatened “consequences”.

No statement has been made since the details of the visa were released, but overnight Chinese television demoted broadcasts of England’s Premier League matches to lesser watched channels.

Bloomberg had earlier reported a source saying it would not be broadcast at all, and aside from Sunday’s Chelsea v Liverpool listed on the lesser channel, no other games appear in CCTV’s schedule.

CCTV holds the rights to air the competition, of which there is one round remaining this weekend, with observers linking the decision to the growing hostilities.

Last year CCTV took the NBA off air after an executive expressed solidarity with the Hong Kong protesters, and in December an Arsenal game went unaired after player Mesut Ozil, a Turkish-origin German man and practising Muslim, used social media to condemn China’s treatment of Uighur Muslims.

Source: theguardian.com
Published: 23 July 2020

There are a few avenues you can take if you want to immigrate to the United States. You can marry a U.S. citizen (or have a close family member sponsor you), have a company sponsor your green card for a unique skill set, or invest in the United States. The EB-5 category is for investors who are willing to put $1.8 million into a business in a nontargeted employment area or $900,000 into a targeted employment area. The plan must create at least 10 permanent full-time jobs for qualified U.S. workers.

If you have the means, this route can be one of the best ways to live in the United States. The trick is selecting a profitable investment that will satisfy U.S. Citizenship and Immigration Services (USCIS) requirements. Here are five things you should know before you try to obtain an EB-5.

1. There Are Two Types of Investments USCIS Permits

If you’re looking for an EB-5-based green card, you should know there are two types of investments that USCIS allows: direct and indirect. Each has its advantages and disadvantages.

With the direct investment route, you are in full control of the business as an investor and manager. For example, you might agree to spend $1.8 million to build and run a factory producing widgets somewhere in the U.S. As long as your new company employs at least 10 people and meets the capital requirements, USCIS will approve your petition.

The indirect route is different. EB-5 centers pool resources from multiple investors to do a larger project. If you agree to put enough money in, the plan itself satisfies the requirements for USCIS. You take a passive investor role and are not responsible for running the business.

2. Each Option Has A Different Risk Vs. Reward Calibration

Think of these two options as mutual funds versus stocks. With an individual stock (the direct route), you can either lose it all or make it big. However, with mutual funds, since your money goes into many different stocks as part of a managed portfolio, you assume less risk but typically receive less reward.

Similarly, EB-5 center investments are not usually for making the most money possible. They’re more about satisfying the requirements for immigration, so some of these projects may have lower returns than other investment opportunities.

3. Investment Amounts Will Become Higher

As part of the changes that USCIS implemented as of November 21, 2019, investment amounts will change to keep track of inflation every five years. Therefore, if you are considering an EB-5 investment, you would likely want to do so before the limits recalibrate, and you have to put in even more money.

4. Look For EB-5 Center Projects With At Least One I-526 Approval

Filing Form I-526, “Immigration Petition by Alien Entrepreneur,” is the first step in the EB-5 process. In this form, you must document the project and your source of capital, including how many people the business will employ, how it will operate and more questions along those lines.

With EB-5 centers, the questions regarding the project itself remain constant across all applications. Therefore, when USCIS approves one I-526 request, they tend to refer to that approval for subsequent applications. Some centers file an exemplar I-526 to give future investors confidence that the project will withstand USCIS scrutiny.

5. Real Estate Projects Have A Distinct Edge

Many EB-5 centers work with real estate projects because they have an edge with USCIS. Construction requires significant investment and lots of jobs, both of which are what USCIS likes to see. The other advantage of building development is that as long as you spend the budget, you’ll create the jobs. If you go the direct investment route, you might put $2 million into the business, but if you don’t bring in enough revenue to hire 10 employees for at least two years, you could have immigration issues.

EB-5 Investors Have Lots Of Options

Fortunately, EB-5 investors have many options. If you want the least amount of risk, a reasonable return on investment and a higher chance of obtaining your green card, consider investing in an EB-5 center project. However, if you’re willing to take on more risk for a more significant ROI, you can always invest in your own endeavor.

The choice is yours. With the right guidance, though, both paths will lead to a green card in the end.

Source: forbes.com
Published: 10 July 2020

Investment migration refers to the attainment of citizenship or residential rights in return for a financial investment or other contributions to the host country. Today, investment migration is a global industry and is featured in immigration law in most UN recognized countries, albeit in different forms and shapes. Indeed, while there are currently 12 citizenship by investment (CBI) programs stricto sensu,[1] many countries offer facilitated naturalization paths that allow for acquisition of citizenship under lessened requirements. Facilitated naturalization is often allowed on grounds of “special achievements” of applicants or “special interest” of states. Residence by investment (RBI) programs have similar paths to residency: while some RBI programs are specifically designed to attract foreign investors in return for residential rights, many countries with no investment programs issue business visas, international talent visas, and/or other economic residence options.

Five of the twelve formal citizenship by investment programs are in Europe, introduced by Cyprus, Malta, Moldova,[2] Montenegro, and Turkey.[3] Furthermore, the Albanian Prime Minister, Mr. Edi Rama, recently announced that Albania may also introduce a citizenship by investment program soon, which would add one more investment migration program in the “old world”. Other European states, including EU Member States, allow discretionary naturalization on the grounds of special achievements ̶ including economic achievements ̶ of applicants. Reportedly, 22 EU Member States allow discretionary naturalization.[4]

The number of investment programs in Europe (specifically in EU Member States) has, naturally, triggered the interest of EU policymakers. The freedom of movement enjoyed by EU citizens, by virtue of the EU law, means that citizens of any EU Member State can settle in any other Member State as well as in Switzerland, Iceland, and Norway.[5] Thus, a Cypriot or Maltese citizen who has obtained his citizenship through an extraordinary investment, can freely relocate to Germany and enjoy most rights domestic citizens do, including the right to stay, establish, or work there. Therefore, the EU has a legitimate interest in following developments related to the acquisition and loss of citizenship in EU member States.

EU institutions have a lot of criticism about these programs and initiate a lot of discussions (and potential legislation) to address them, but this criticism and activity is one sided. The IMC works to balance the discussions and is encouraging other groups to work with them to do the same. In doing so, the integrity of the programs will be strengthened all around.

Investment migration has attracted strong criticism from EU institutions ever since the launch of the Maltese CBI program, which triggered proactive EU involvement. Since this time, various EU institutions and bodies have initiated discussions and levied numerous critiques of CBI and RBI programs. Criticism was related to the general principle of fairness and discrimination, the EU principle of sincere cooperation, the principle of genuine link, the commodification of citizenship, and specific issues surrounding corruption, money laundering, and other criminal activity.

In 2014, the European Parliament (EP) questioned whether investment programs aligned with EU values, asking the European Commission (EC) to analyze the matter further.[6] The TAX3 Special Committee on Financial Crimes, Tax Evasion and Tax Avoidance, established in March 2018, demanded that all CBI and RBI programs be phased out in EU Member States,[7] stressing that CBI and RBI programs carry significant risks related to devaluation of EU citizenship, corruption, money laundering, tax evasion, lack of proper due diligence checks, and uncertain economic sustainability and viability of the investments provided through the programs.[8] The European Parliamentary Research Service (EPRS) researched investment migration in somewhat greater detail. However, the EPRS study ignored several relevant legal arguments related to the subject of sincere cooperation between EU Member States, the principles of fairness and discrimination in light of citizenship, and the principles of fairness and discrimination.

In January 2019, the EC issued its report on investment programs, relying heavily on previous documents of EU institutions and bodies. While recognizing that applicants may invest in a Member State for legitimate reasons, the EC underscored the risks associated with investment migration programs, including money laundering, corruption and tax evasion, as well as the possibility of criminal infiltration in the EU. Following the report, and through the lobbying efforts of the Investment Migration Council, the EC set up a group of experts from EU Member States to look at the specific risks associated with investment migration, develop a common set of security checks in this respect, and address the aspects of transparency and good governance with regard to the implementation of investment migration programs. It also consulted with civil society and industry representatives (including IMC) who were given the opportunity to provide their feedback on a number of questions raised in the report.

Most recently, the European Economic and Social Committee reaffirmed the stance of the EP’s TAX3 Special Committee in its Opinion on investment programs,[9] calling for phasing out all investor programs and urging EU Member States to follow that recommendation “or provide reasonable arguments and evidence for not doing so”.[10] It further recommended that “while working towards a phase-out of existing schemes in the EU, accession countries should not be allowed to run CBI or RBI schemes when they join, so that no new schemes are added to the ones currently in place”.[11]

With the new MEP’s and European Commission in place for the ninth parliamentary term, discussions on investment migration in the EU are expected to continue in the upcoming years. The European Parliament Committee on Economic and Monetary Affairs (ECON) has confirmed the establishment of a permanent subcommittee on tax and financial crime (TAX4) for the 2019 – 2024 parliamentary term, which can be seen as a confirmation that the EP intends to continue to focus strongly on these issues during the mandate. Various intergroups, and especially the recently formed intergroup on anticorruption, are also expected to raise questions related to investment migration in the future.

Involvement of the Investment Migration Council

The Investment Migration Council (IMC) supports discussions by civil society, governments, policymakers, and industry professionals aimed at strengthening the legal and security aspects of citizenship and residency programs. Unfortunately, reports from EU institutions are often unbalanced, focusing too heavily on the critiques of the programs and rarely taking into account the benefits and evident legal arguments in favor of investment migration. Furthermore, these reports are largely shaped by negative stereotypes and bias against the industry, which leads to unbalanced information and wrong conclusions. Investment migration is indeed a sensitive and highly politicized matter. This is primarily because of the money involved in trade with (what seem to be) non-tradable goods.[12] Money makes investment migration different than other forms of facilitated naturalization, such as fast-track naturalization of talented sportsmen or naturalization through marriage or ancestry. Yet, sensitivity and politics are one thing; law is quite another. In the eyes of the law, citizenship and residency through investment are perfectly legal ways of acquiring citizenship or residency in the country providing for such options and not much different from other legal ways of facilitated naturalization or immigration.

The IMC works to paint the whole picture of investment migration and create balance in the discussion, by interacting with other professional associations, governments, and international organizations daily. Furthermore, the IMC continuously assesses various aspects of the investment migration industry through vigorous research, including academic articles, reports, forums, education, and more. The aim is twofold: first, the IMC seeks to improve public understanding of all aspects of the investment migration industry; and second, it aims to promote education and high standards among its members. In pursuing these objectives, the IMC is guided by three important edicts:

1. The IMC is primarily focused on the legal aspects of investment migration. When it comes to the acquisition of citizenship, national laws and EU law are rather clear: citizenship matters, and the criteria for acquiring citizenship remain the sole competence of Sovereign States/EU Member States.[13]

Accordingly, the IMC has addressed points made by EU institutions that go against the sovereign rights of states to decide on questions related to acquisition of citizenship. Furthermore, the IMC participated constructively in the investment migration discussion hosted by the European Commission and arranged numerous meetings to make EU and other policymakers aware of their standpoint and work.

2. Various studies and analyses aside, investment migration remains largely an unregulated industry. Establishing minimum standards across the industry would contribute to creating a common regulatory framework that would address the risks associated with investment migration.

The IMC has started bridging the gap created by the lack of standards. The IMC, in coordination with BDO, Exiger, and Refinitiv, formed a Due Diligence Working Group to examine the state of play of due diligence and explore the potential for minimum standards across the investment migration industry. An independent research think tank, commissioned by the IMC, has drawn on industry-wide insights to conduct independent research on these questions and produce two reports.[14]

3. Any objective assessment of the investment migration programs should include all relevant aspects and players in the industry.

The IMC repeatedly called EU institutions to involve them in discussions and other activities related to CBI and RBI programs. Challenges and issues can be successfully addressed only if policymakers and stakeholders are willing to hear all arguments and assess objectively all relevant aspects of the industry. The IMC is open to different opinions and arguments that would contribute to a healthy and regulated industry.

Finally, all actors working in the field of investment migration ̶ within or outside of Europe ̶ should join the IMC’s efforts and work together to put an end to abuse of investment migration programs, and maintain high standards for the industry.

[1] These include 12 formal citizenship programs specifically designed to attract foreign investors offered by: Antigua and Barbuda, Cyprus, Dominica, Grenada, Jordan,alta, Moldova, Montenegro, St Kitts and Nevis, St Lucia, Turkey, and Vanuatu.

[2] On 21 June 2020, the Moldova’s Parliament has repealed the law on citizenship by investment thus closing the program before it really even properly started.

[3] ‘Europe’ is not only about geography but is also a historical, political and a cultural concept. For instance, Cyprus is geographically in Asia, but is rather European and a fully-fledged EU Member State (except for Northern Cyprus, which is not part of the EU); the largest part of Turkey is in Asia, but the country is candidate for EU membership; Greenland is geographically part of North America, but is politically and culturally associated with Europe, to name but a few examples.

[4] EUI Globalcit database – information under ‘Mode A24, Special Achievements’, available at: last accessed 11 February 2020. As of 1 February 2020, the United Kingdom is not a part of the EU and has been treated as a non-EU Member State for the purposes of this analysis. It is worth mentioning, however, that the UK Tier 1 Investor visa program attracts a large number of candidates from around the world.

[5] For detailed information on free movement of all nationalities see Dimitry Kochenov and Justin Lindeboom (eds), ‘Kälin and Kochenov’s Quality of Nationality Index Nationalities of the World in 2018’ (Hart, Oxford 2020).

[6] European Parliament resolution of 16 January 2014 on EU citizenship for sale (2013/2995(RSP).

[7] Para. 91, Draft Report of the Special Committee on financial crimes, tax evasion and tax avoidance on financial crimes, tax evasion and tax avoidance (2018/2121(INI)).

[8] Para. 87, Draft Report of the Special Committee on financial crimes, tax evasion and tax avoidance on financial crimes, tax evasion and tax avoidance (2018/2121(INI)).

[9] EESC Opinion, ‘Investor Citizenship and Residence Schemes in the EU’ SOC/618-EESC-2019 (EESC Opinion).

[10] Para 1.1. EESC Opinion.

[11] Para 4.2.2 EESC Opinion.

[12] Christian H. Kälin, Ius Doni in International Law and EU Law (Brill Nijhoff, Leiden/Boston 2019) 48.

[13] This is notwithstanding the growing importance of EU law with regard to certain aspects of citizenship matters, such as loss of EU citizenship. States’ sovereignty and respect for their freedom of deciding on citizenship criteria is of paramount importance and a starting point for every discussion of investment migration.

[14] The two reports on ‘Due Diligence in Investment Migration Current Applications and Trends’ and ‘Due Diligence in Investment Migration Best Approach and Minimum Standard Recommendations’ are available at last accessed 11 February 2020.

Source: forbes.com
Published: 15 July 2020

In the Caribbean, Citizenship by Investment (CIP) changes life, help government’s build back better infrastructure, provide for investment in human resources and economic development. Obtaining a second passport or foreign residency rights open doors, effortless travel to global mobility that amounts to a life-changer for socio-economic balance, for business and family [work/life] seeking alternative solutions. Now comes the 12-month Barbados Welcome Stamp, in the COVID-19 era.

The value of the citizenship offers global mobility, evident in the coronavirus era, that requires flexibility, for work and family, the twelve-month Barbados Welcome Stamp for visitors, now being refined for promotion, would allow ‘persons to come and work from here overseas, digitally so, so that persons don’t need to remain in the countries in which they are’.

“You don’t need to work in Europe, or the US or Latin America if you can come here and work for a couple months at a time; go back and come back. The government is committed to working with you on the promotion of new concepts like the 12-month Barbados Welcome Stamp, being able to open our borders to persons travelling and making it as hospitable as ever for all of us, and making it available for Barbadians from every walk of life to believe that for special occasions, or just for so, that they can come out and be a part of this wonderful exercise,” said prime minister, Mia Amor Mottley.

Dominica has the world’s best Citizenship by Investment (CBI) programme, established in 1993, and according to the past three consecutive issues of the CBI Index , released annually by Professional Wealth Management (PWM) – a publication from the Financial Times. Dominica excels at transparency, integrity, and transformative impact on the native population.

Dominica is one of the top 20 destinations of the future – the Nature Isle of the Caribbean with a thriving ecotourism industry. Qualifying investments of at least US$200,000 is available. Alternatively, applicants can make a one-off contribution of at least US$100,000 to the Economic Diversification Fund .

On June 24, the government of the Commonwealth of Dominica expanded the definition of ‘dependant’ under its Citizenship by Investment (CBI) Programme . The changes allow main applicants to add previously unqualifying adult children, parents, grandparents, and siblings. All dependants aged 16 or over must still pass due diligence checks to qualify.

St Kitts and Nevis has diversified its economy through the Citizenship by Investment (CBI) programme, established in 1984.

Foreign minister Mark Brantley, interviewed for a new documentary by PWM, says that CBI plays a very important role for the residents of the islands and the country’s economy.

“That fund provides direct income to the government,” Brantley told PWM. “And when that happens, of course, the government then have resources to do a host of social projects and a host of development and infrastructural projects for the country. And we look around St Kitts and Nevis and you see the DNA of that all over. We have just launched, for example, a Poverty Alleviation Programme where poor households are given a supplemental check each month. So, it has a real, legitimate impact on the ordinary lives of our citizens, and I think that is what makes it so important to us.”

He explained how bigger countries like the US, Canada and EU member states have replicated the islands’ original investor immigration model. “We started it here, but it hasn’t stayed here,” Brantley says. “In Europe, for example, you have places like Malta and Cyprus and Portugal – they’re all offering some variant. The great-Canada offered some variant which attracted, of course, a lot of Hong Kong Chinese to places like Vancouver. In the United States, you have the EB-5 visa programme that was put in place. All of these are variants of the same theme, but that theme started right here in St Kitts and Nevis.”

The Citizenship by Investment Unit (CIU) of the Federation of St Kitts and Nevis, on July 3, reduced the minimum contribution families must make to become economic citizens. Families of four can now contribute US$150,000, instead of US$195,000, to the Sustainable Growth Fund under the country’s CBI programme. The offer is temporary, valid from July 3, 2020, until December 31, 2020.

The Antigua and Barbuda Citizenship by Investment Regulations 2014 , established the Regulations regarding citizenship by investment in Antigua and Barbuda are contained in Section 6 of the Citizenship by Investment Act, 2014. Holders of the Antigua and Barbuda passport enjoy visa-free travel to approximately 150 countries, including the UK and the countries of the Schengen area.

Antigua and Barbuda is an independent Commonwealth state in the Eastern Caribbean. With some 365 beaches of clean turquoise waters, the lush tropical islands of Antigua and Barbuda are an inviting paradise and considered to be one of the most beautiful places in the world. As a result, tourism is the key driver of Gross Domestic Product (GDP) and generates around 60 percent of the island’s income, with key target markets being the US, Canada, and Europe.

Antigua and Barbuda citizenship by investment unit new fee structure for its University of the West Indies (UWI) Fund option, took effect May 11, 2020. A family of six will contribute US$150,000 inclusive of processing fees. Each additional family member US$15,000 is payable. Customary due diligence fees are payable and 20 percent commission payable on each file.

Grenada’s citizenship by investment came into being in August 2013, when the Grenadian parliament passed Act No. 15 of 2013, otherwise referred to as the ‘Grenada Citizenship by Investment Act, 2013.’

Recently, Grenada opened a Consulate in Dubai , United Arab Emirates, to further develop economic, cultural, and scientific ties between the two countries. Grenada’s Consulate in Dubai aims to bolster the country’s citizenship by investment program, working actively to promote it to potential investors and its many benefits for family members and the peace of mind that comes with convenient global mobility.

For developers, Grenada’s new Consulate in Dubai will foster ties between the Middle East and Grenada while providing invaluable, quick, and convenient services to Grenada passport-holders not just in Dubai, but in the wider region. The process is fast, efficient, straightforward, and gives visa-free travel to over 130 destinations worldwide including the UK, the EU Schengen States, China, Russia, Brazil, Hong Kong, Singapore. Citizens can take advantage of the US E2 visa, which allows them to live and work in the United States.

Present and future generations can now relax knowing the Caribbean continues to be secure, and that the CBI countries have integrity, due diligence, and along with external partners are wide-ranging, knowing that their investment and status in life remains intact while contributing to the development of the Caribbean.

Source: menafn.com
Published: 14 July 2020

The healthcare system in the Commonwealth of Dominica was not strained by the pandemic, with the government managing to contain the spread of the virus from the onset, recording zero deaths and only 16 fully recovered cases. Nonetheless, the Caribbean island is committed to a complete overhaul of its healthcare facilities, the government announced this week, assisted by its world-leading Citizenship by Investment (CBI) Programme.

As the best country for citizenship by investment, according to the Financial Times’ PWM CBI Index, Dominica is well known for making exceptionally good use of CBI contributions. In the healthcare sector alone, the CBI Programme has brought four main changes in less than three years.

After Hurricane Maria in 2017, CBI funded the rehabilitation of three hospitals and six health centres. The following year, 16 children benefitted from critical medical healthcare abroad, sponsored by the CBI Programme. Today, economic citizens’ contributions are fully funding the construction of 14 modern polyclinics across the island, comprising ambulances, pharmacies, nurses’ and doctors’ quarters and dental healthcare. They would have a fully inclusive access policy, providing residents in fourteen communities with better healthcare on their doorstep.

“We are also working on the human resources aspect of it,” said Dr Irving McIntyre, Dominica’s Minister for Health, Wellness and New Health Investment. “Infrastructure is very important, but also the human resources that can give the services at these health centres is just as important,” he explained.

A new hospital is also being built in the Marigot area. Spread across 40,000 sq. feet, the Marigot Hospital will have a 75-bed capacity and modern facilities like ICU, Emergency, Maternity, Radiology, Laboratory and Trauma Centre. CBI fully finances its construction, while the Government of Mexico is granting US$5 million towards medical equipment.

Last week, Prime Minister Roosevelt Skerrit told UAE-based Khaleej Times that Dominica’s existing healthcare system is already effective and was key in the country’s good response to the pandemic. “Normally, in circumstances after natural disasters like Hurricane Maria, you would have had associated health issues, whether it is water-borne diseases or other forms of diseases. We never saw this in Dominica because of the effectiveness and robustness of our health system,” PM Skerrit explained.

Foreign investors and their families can legally obtain second citizenship from Dominica within three-four months either by making a one-off contribution to a government fund or investing in pre-approved luxury and sustainable hotels. Firstly, though, all applicants must pass Dominica’s thorough due diligence checks, deemed among the most rigorous of all investor immigration programmes. This guarantees the Programme’s integrity for Dominica’s sake, while investors can rest assured that their citizenship is for life and can safely be passed on to future generations. Economic citizens earn the right to live, work and study in Dominica, taking advantage of all the facilities the country offers, such as good healthcare, education, visa-free travel, safety and security for life.

Source: virtual-strategy.com
Published: 5 June 2020

Last week President Trump suspended visas for huge categories of immigrants, allegedly to “protect American jobs.”

To understand how disingenuous this rationale is, consider the case of Vihaan Baranidharan.

Vihaan is stuck in India, where he went to see his sick grandmother for what was supposed to be a short visit. Thanks to Trump’s order, he’s blocked from getting the visa stamp needed to return to Dallas. But Vihaan has not taken, nor has any plans to take, any American’s job. He doesn’t have the experience to be competitive in the U.S. job market — or even sufficient vocabulary.

Because Vihaan just finished first grade.

“What risk could he pose to the U.S. economy?” pleads his mother, Sindhu Turumalla. “He is 7.”

That doesn’t matter to the Trump administration, which is exploiting the economic downturn as another excuse to punish immigrants — whether legal or undocumented, professional or working class, entrepreneur or student, adult or child.

The United States is so far the only country to “explicitly justify mobility limitations not on grounds of health risk, but to protect the jobs and economic wellbeing of” its citizens, according to the Migration Policy Institute.

In an April executive order, Trump suspended issuance of green cards for most people applying from abroad. Last week’s executive order expanded the ban to large categories of temporary, employment-based visas. This included the highly skilled immigrants the administration usually claims it prioritizes, as well as any spouses and minor children who normally accompany these workers.

The U.S. economy is indeed in bad shape. But it’s hard to fathom that the estimated 377,000 would-be immigrants now barred from entry present much “risk to the U.S. labor market,” as Trump claims.

Keeping them out, however, could actually harm the economy in the long run. Vihaan’s family presents a helpful case study.

His dad, an executive handling cybersecurity at a major global bank, has been based in the United States since 2017 on a visa specifically for executives transferred from abroad within the same company. He manages, and hires, U.S. workers. While unemployment overall is in double digits, in his field — computer-related occupations — unemployment has declined since the pandemic began, hitting 2.5 percent in May.

What’s more, economists generally believe that highly skilled immigrants like him create job opportunities for Americans and make the country more competitive, especially in STEM, or science, technology, engineering and math, fields.

Vihaan and his mom, who is a homemaker, traveled to India in late February to see Vihaan’s grandmother, who has stage-4 cancer. Then, like dozens of other immigrant families I’ve talked to over the past week, they were hit with a series of shocks.

Return flights were canceled. U.S. consulates closed, preventing access to required visa stamps. Then, Trump’s executive order declared that even if consulates reopen soon, they won’t issue such visas until at least 2021.

The order has incited chaos and panic for the many legal immigrants stranded halfway around the world from their loved ones. Denver-based software developer Kranthi Goud told me that he and his wife have valid visa stamps, but that they cannot get a visa for their 4-month-old daughter, who was born in India.

“This is the time when I should be bonding with her,” Goud said. He is temporarily working from India but fears having to choose soon between his job and his baby.

Perhaps such family separations are an accident of sloppy policy design. But it’s hard not to view them as a deliberately punitive choice to bar entry of new high-skilled immigrants while also making life more painful for those already here.

Even if the ban is temporary, America’s reputation with global talent may be permanently damaged.

High-skilled workers are being welcomed in other countries. Cisco’s chief executive recently referred to Trump’s suspension of visas for such workers as “a Canadian Jobs Creation Act.”

Other U.S. jobs may also be lost in the long run. Right now, international executives cannot reliably visit their factories or offices in the United States. Next time they build a plant, they might locate it elsewhere.

Already, affected families are exploring their options.

Turumalla, Vihaan’s mom, says the family has been happy in Dallas. Vihaan loves his school and with a local therapist’s help has made huge progress with a speech impediment. The family bought a house and thought they were living “the American Dream”; they hadn’t even entertained positions Vihaan’s dad was offered in other countries.

Then, Turumalla overheard her son say something in a video chat with a classmate that unsettled her — that he probably won’t be back for second grade because the president doesn’t like him and doesn’t want his family here.

She’s still hoping to return to Dallas, and her husband, soon. But she’s reevaluating their long-term plans: “I’m not sure I want my son to grow up in such a hostile environment.”

Source: washingtonpost.com
Published: 30 June 2020

President Trump on Monday signed an executive order to suspend the issuance of certain temporary worker visas through the end of 2020, cracking down further on immigration after signing a more narrow measure in April.

The order applies to H-1B visas, H-2B visas, H-4 visas, L-1 visas and certain J-1 visas. It is the latest effort by the Trump administration to satisfy immigration hawks and groups that argue American workers should be prioritized, especially amid the economic downturn caused by the coronavirus pandemic.

H-1B visas are used for skilled workers and are common in the tech industry and is the largest visa program of those included in Monday’s order as its recipients can stay for multiple years.

H-2B visas apply to seasonal workers. H-4 visas are given to spouses of H-1B visa holders.

J-1 visas are given to researchers, scholars and other specialized categories such as au pairs, while L-1 visas are used for executives transferring to the United States from positions abroad with the same employer. Roughly 300,000 J-1 visa recipients come to the U.S. every year, according to the American Immigration Council.

“Temporary workers are often accompanied by their spouses and children, many of whom also compete against American workers. Under ordinary circumstances, properly administered temporary worker programs can provide benefits to the economy. But under the extraordinary circumstances of the economic contraction resulting from the COVID-19 outbreak, certain nonimmigrant visa programs authorizing such employment pose an unusual threat to the employment of American workers,” the order reads.

The restrictions are set to remain in place for the rest of the calendar year and can be extended.

A senior administration official said the visa restrictions would free up more than half a million jobs for workers already in the country. However, many companies are laying off workers due to the pandemic, and economic experts have acknowledged some of those jobs may not return.

The official said Trump has also directed aides to work on longer-term reforms to the immigration system. The president is pushing for a more merit-based system that would distribute H-1B visas based on which applicants received the highest wage offers, the official said.

The order does not apply to those already in the United States, and it gives the Trump administration some leeway in making other exceptions. For example, immigrants applying for visas to provide labor “essential to the United States food supply chain” are exempt. Individuals “whose entry would be in the national interests” as determined by the federal government are exempt as well.

The expanded visa restrictions may not have a significant immediate impact given the U.S. has barred noncommerce travel into the country from Canada, Mexico, China and Europe. But the move is likely to receive approval from Republicans and immigration hawks who have pushed for stronger measures to protect American jobs while the economy recovers.

“We’re hopeful this is going to see broad bipartisan support,” the official said.

The order comes roughly two months after Trump signed an initial executive order that temporarily suspended the issuance of new green cards, citing the need to protect American jobs amid widespread unemployment during the pandemic.

The original order contained broad exemptions and was set to expire this week after a 60-day period. That measure was widely panned by allies of the administration who viewed it as too narrow and falling far short of Trump’s pledge via tweet to “temporarily suspend immigration into the United States.”

“I think it’s going to make a lot of people very happy, and it’s common sense, I mean, to be honest with you. It’s common sense,” Trump said of the order during an interview Saturday with Fox News.

Immigration hawks largely welcomed Monday’s executive order despite some of the exemptions.

“For the most part, the president withstood intense pressure from powerful business interests that continue to demand more cheap foreign labor, even as they have laid-off an unprecedented number of American workers over the past three months,” Dan Stein, president of the Federation for American Immigration Reform, said in a statement.

“We fully expect that the agencies charged with carrying out this Proclamation in furtherance of the president’s intent to aid struggling American workers will resist pressure from corporate lobbyists to abuse their discretionary authority,” Stein added.

Business groups expressed concerns about the measure, which they argued would discourage qualified workers from coming to the U.S.

“Restrictive changes to our nation’s immigration system will push investment and economic activity abroad, slow growth, and reduce job creation,” U.S. Chamber of Commerce CEO Thomas J. Donohue said in a statement.

“Those who believe legal immigration, particularly work visas, are harmful to the American worker do not understand the American economy,” Graham said.

Source: thehill.com
Published: 22 June 2020

There are risks and pitfalls in operating investment immigration programs, in which countries have often learned the painful way by making mistakes and facing scandals.

Such risks include misuse of programs for tax evasion, the moral and political implications of putting citizenship up for sale, and the possibility of lax regulation and due diligence leading to security risks.

This leads to the key factor that will determine the future of the investment immigration industry — effective due diligence.

Countries have responded to criticism with stricter checks, more comprehensive due diligence protocols, measures to prevent tax evasion and money laundering, and overall professionalization of the programs.

Others have increased processing fees to fund the establishment and maintenance of systemic safeguards.

While naysayers remain, the steady pace at which the investment immigration industry has grown across the world clearly shows that a balanced approach combining transparency and due diligence with investor-friendly policies will be key going ahead.

To read this article in its entirety please click here

Source: mondaq.com
Published: 19 June 2020