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Citizenship by investment in Cyprus

(Subsection (2) of section 111A of the Civil Registry Laws of 2002-2013)

Legal Framework

Subsection (2) of Section 111A provides that the Council of Ministers may, under any conditions it determines as appropriate, to allow the Naturalization of foreign entrepreneurs. The aforementioned Decision of the Council of Ministers provides for the grant of the Cypriot citizenship to the spouse as well as the financially dependent adult children (eighteen years old or above) of the investor. Neither the spouse nor the children are obliged to meet any financial criteria.

Profile of a successful applicant

  • A non-Cypriot citizen, who meets one of the below mentioned economic criteria, either personally or through a company/ companies in which he/ she participates as a shareholder (proportionally based on the percentage of participation) or even as a high-ranking senior manager of a company/ companies that meets one of the economic criteria;
  • A high-ranking senior manager may apply, provided that he/she receives such a remuneration that generates for the Cyprus Republic tax revenue of at least €100,000 for a three year period, provided that this tax has already been paid or prepaid;
  • The applicant should have concluded the necessary investments at any time during the three years preceding the date of the application and must retain the said investments for a period of at least three years since the date of the Naturalization;
  • The applicant must fulfill the Terms and Conditions set out in Part B.

Important Note: In the case where, following a periodic inspection, it has been ascertained that any condition is being circumvented, the Naturalization may be revoked.

PART A:

Investment criteria

The applicant is required to comply either with a single one or with a combination of the below criteria. The investment made must have a total value of €5 million.

  1. Investment in government bonds The applicant must have purchased state bonds of the Republic of Cyprus of at least €5 million.
  2. Investment in financial assets of Cypriot companies or Cypriot organizations: The applicant must have purchased financial assets of Cypriot companies or Cypriot organizations (bonds/ securities/ debentures registered and issued in the Republic of Cyprus) of at least €5 million. It is noted that these financial assets can be purchased either at issuance, or subsequently by the market.
  3. Investment in real estate, land development and infrastructure projects: The applicant must have made an investment of at least € 5 million for the purchase or construction of buildings or for the construction of other land development projects (residential or commercial developments, developments in the tourism sector or other infrastructure projects). Please note that the restrictions on the purchase of land by non-Cypriots still exist.
  4. Purchase or creation or participation in Cypriot businesses or companies: The applicant must have made an investment of at least € 5 million in the purchase, creation or participation in businesses or companies, that are based and operating in the Republic. These businesses or companies should evidently have a tangible presence in Cyprus and employ at least five (5) Cypriot citizens. It is noted that the mandatory conversion of deposits into shares is included in this criterion.
  5. Deposits in Cypriot banks: The applicant must have personal fixed term deposits for three years in Cypriot banks or deposits of privately owned companies or trusts (in which he/she is the beneficiary owner) in the Republic of Cyprus of at least €5 million.
  6. Persons whose deposits with the Popular Bank Public Company Ltd have been impaired due to the measures implemented after the 15th March 2013. The applicant has incurred an impairment in deposits amounting to a total of at least €3 million.In the case where the applicant has incurred an impairment in his/her deposits under €3 million he/she may apply, having made an additional investment through the criteria 1 (Investment in Government bonds), 1 (Investment in financial assets of Cypriot companies or Cypriot organizations), 3 (Investment in real estate, land development or infrastructure projects), 4(Purchase or creation or participation in Cypriot businesses and companies) and 5 (Deposits in Cypriot Banks) for the balance of the required amount of the aforementioned criteria.

Information on Major Collective Investments (Group Investments):

The Council of Ministers shall have the right on special occasions, to reduce the above Investment Criteria (1 (Investment in Government Bonds), 2 (Investment in financial assets of Cypriot companies or Cypriot organizations), 3 (Investment in real estate, land development or infrastructure projects) and 4 (Purchase or creation or participation in Cypriot businesses and companies):

I. To €2.5 million for investors, who demonstrably participate in a special collective investment scheme, provided that the total value of the investment is at least €12.5 million.

II. To €2 million for investors who demonstrably participate in a special collective investment scheme, provided that the total value of the investment is more than €12.5 million. It is noted that this present provision (I), will be in force until the 1st of June 2014.

It is noted that for the above mentioned provisions (Ι) and (ΙΙ), that the investment criteria from 1 – 4 may be realized through a different salesman/ provider (physical or legal entity).

PART B:

TERMS AND CONDITIONS – these are pre-requisites for all applicants

Clean Criminal Record – the applicant must have a clean criminal record. Furthermore, his name must not be included on the list of persons whose property is ordered to be frozen within the boundaries of the European Union.

Residence in the Republic of Cyprus – the applicant must hold a permanent privately-owned residence in the Republic of Cyprus, the purchase price of which must be at least €500.000, plus V.A.T. It is noted that members of the same family, which apply separately as investors, can collectively acquire a residence, provided that the total value of this home-property covers the amount of € 500.000 per each applicant.

Procedure to be followed

  • The application will be submitted at the Ministry of Interior
  • A non – refundable fee of €2.000 will be paid at the time of submission of the application
  • The original documents will be submitted together with 1 set of photocopied documents
  • The appropriate documents are needed as evidence of the investments of the applicant in Cyprus. These documents may include: – Certificate of Registration of the company/ companies by the Registrar of Companies – Certificate of shareholders by the Registrar of Companies or certificates evidencing that the applicant is the beneficiary owner of the company/ companies – Audited Accounts of the company (or companies) for the last three years preceding the year of the application

None of the above affects the absolute discretion of the Council of Ministers in taking a Decision.

Documents required as evidence for the Investment criteria – the applicant is required to comply either with a single one or with a combination of the below criteria. The investment made must be of a total value of €5 million.

Immigration Questionnaire

Immigration-questionnaire-image

Immigration Permit types:

  • Registration of an EU citizen and his/hers family members that are also EU citizens – View
  • Residence card of a non – EU citizen who is married with an EU citizen – View
  • Temporary Residence permit (pink slips) – View
  • Permits for the spouse/relatives of CY citizens (pink slips) – View
  • Employment Permits (non – EU nationals) – View
  • Registration of Cyprus companies with foreign affairs – View
  • Long Term Residence Permits (Category E) – View
  • Long Term Residence Permits (Category F) – View
  • Citizenships – by naturalization or by exception – View