Following the success of the Malta Residence and Visa Program (MRVP), the new Malta Permanent Residence Programme which will be launched by March 2021, aims to attract more foreign investment, and compete with other European Residence programmes.
The new programme will be directed by a new agency, ‘Residency Malta Agency’. The Maltese Government intends to keep evolving the new Permanent Residence Programme, taking into consideration any feedback received from the industry.
Why is the New Malta Permanent Residence Programme more attractive to investors?
The New Malta Permanent Residence Program will replace the previous Malta Residence and Visa Program (MRVP) with a possibility of having the Permanent Residence linked to Maltese Citizenship by Investment Regulations. This programme will also offer two paths to obtain permanent residence with a reduced Contribution fee for those who opt to purchase a property in Malta.
Full Contribution Option: €98,000 when opting to rent a property.
Rental rates of €10,000 per annum in the South of Malta and Gozo, and €12,000 for the rest of Malta.
A mandatory donation of €2000 to a Maltese registered NGO.
Reduced Contribution Option: €68,000 when opting to purchase a property in Malta.
Property value requirement: €300,000 in the South of Malta and Gozo or €350,000 for the rest of Malta.
Mandatory donation of €2000 to a Maltese registered NGO.
Other highlights of the new Residence programme:
- Removal of the obligation of €250,000 in qualified investment applicable under the previous Malta Residence and Visa Program.
- Removal of eligibility requirement of a minimum annual income of €100,000 which was applicable under the previous Malta Residence and Visa Program.
- The administrative fees (covering the work of processing, due diligence, etc.) for the main applicant, spouse, and children are covered by the €68,000/98,000.
- An additional fee of €7,500 for a spouse, a parent, or a grandparent will apply, as well as a fee of €5,000 for any adult children added after the initial approval.
Fee Structure for the Malta Permanent Residence Program
Under the new regulations, the fee structure differs slightly from the previous programme. The Government contribution for the Main Applicant is €98,000 (if renting a property) or €68,000 (if purchasing a property).
Initial administrative fee deposit of €10,000 to start the process of obtaining permanent residence.
Administrative fee after issuance of letter of approval in principle of €30,000 to be paid within two months.
The remaining contributions to be paid within a period of 8 months.
- Spouse: €7,500.
- Parents and/or Grandparents: €7,500.
- Children 18+: €5,000.
Other than the above-mentioned changes, it is mandatory for applicants to have a capital of €500,000 (of which €150,000 must be financial assets).
The Parliamentary Secretary also stated that, as several other European Union countries are improving or developing new programmes, Malta is also evolving the MRVP, making the new Maltese Permanent Residence Program more attractive which in turn will be key to the Maltese post COVID economy by attracting more foreign investment.