by Anastasia Patera, Associate Lawyer at Dionysiou & Partners LLC
On 21/04/2023, the Council of Ministers approved a proposal by the Ministry of the Interior for the review of the criteria concerning the grant of Immigration Permits to nationals of third countries who invest in Cyprus, pursuant to the provisions of Regulation 6(2) of the Foreigners and Immigration Regulations.
The Council of Ministers has imposed stricter parameters on the investment and qualitative criteria, as well as on the control parameters. The Civil Registry and Migration Department officially announced that the changes will include the following:
A. Investment criteria
For the submission of the application the amount of at least €300,000 + VAT must be paid to the Developer and relevant receipts should accompany the submission of the application.
While the amount of the investment does not change, the main applicant’s income is increased to €50,000, instead of €30,000, while for each minor child it will be €10,000, instead of €5,000, and €15,000 for spouses.
For applicants who choose to invest in residential property, the source of income can originate from salary wages, pensions, stock dividends, interest on deposits, rents, and/or other sources from abroad, which can only be proven through the applicant’s tax return from the country in which he is a tax resident. In calculating the total income, the income of the applicant’s spouse may also be taken into account, provided that the spouse is included as dependant to the application.
In the cases where the applicant chooses to make any of the other types of investment, his total income or part of it may also arise from sources originating from activities within the Republic of Cyprus, provided that he is tax residence in the Republic of Cyprus.
B. Qualitative criteria
The applicant and his spouse must now submit a Clean Criminal Record Certificate from the country of origin as well as from the country of residence in case it differs.
The applicant and their dependent family members must, in addition, provide a Health Insurance Certificate for medical treatment covering inpatient and outpatient care.
Furthermore, in the cases where the applicant chooses to invest any type of investment other than residential, he should then present information about his place of residence and that of his family members in the Republic of Cyprus (e.g. property title deed, rental agreement, sale and purchase agreement).
In the event where the applicant chooses to invest in residential property, but the number of bedrooms of the investment property cannot satisfy the needs of the dependent members of his family, he should indicate another property or properties which will constitute the place of residence of these persons (e.g. property title deed, rental agreement, sale and purchase agreement).
C. Control mechanisms
The applicant will also be required, among other things, to provide on an annual basis, evidence proving that he still maintains the initial investment and the required income determined for him and his family. In the event that the holder of the immigration permit fails to provide the documents required, the immigration permit of himself and his family will be cancelled.
The aforementioned changes will come into force on 02/05/2023. Applicants who have submitted the sale and purchase agreements to the Land Registry Department from 02/01/2023 to 28/04/2023, will be able to submit applications with the previous criteria that were in effect from 24/03/2021.