1 LEGAL FRAMEWORK
1.1 In accordance with the provisions of Regulation 6(2) of the Aliens and Immigration Regulations, the Minister of Interior decided, having informed the Council of Ministers, to issue Immigration Permits to applicants who are nationals of third countries, in cases of investments which meet the conditions of this policy.
1.2 The applicant must meet one of the investment criteria of Paragraph 2.1, as well as the quality criteria of Paragraph 3 below.
It is understood that the money to be used for the investment must provenly come from abroad, from the applicant’s own bank account and/or that of his spouse, as long as she will be included as a dependent person in his application. The amount of the value of the investment must be paid from the applicant’s bank account to the seller’s account in a Cypriot financial institution.
2 INVESTMENT CRITERIA
2.1 The applicant must make an investment of at least €300,000 in one of the following investment categories:
(A) Investment in a house/apartment:
Purchase of a house or apartment from a land development company, which must be for first sale of at least €300,000 (plus VAT).
(B) Investment in real estate (excluding houses/apartments):
Purchase of other types of real estate such as offices, shops, hotels or similar developments, or a combination of these totaling €300,000. These properties can also involve resales.
(C) Investment in the share capital of a Cypriot Company with activities and staff in Cyprus:
Initial investment in the share capital of a new company worth €300,000 or increase in share capital worth €300,000 in an existing company registered in the Republic of Cyprus, which is based and operates in the Republic of Cyprus and has proven physical presence in Cyprus and employs at least five (5) people.
(D) Investment in shares of a Cypriot Collective Investments Organization (type AIF, AIFLNP, RAIF):
Investment worth €300,000 in shares of a Cypriot Collective Investments Organization whose investments must be conducted in the Republic of Cyprus. It is understood that, any disposal by the holder of the Immigration Permit from the investment he has made without the immediate replacement of it with another of the same or greater value, which must meet the conditions set in this procedure, will entail the activation of the cancellation process of the Permit based on the provisions of Regulation 6 of the Aliens and Immigration Regulations.
2.2 In addition to the investment based on Paragraph 2.1 above, the applicant must be able to prove that they have at their disposal a secured annual income of at least €50,000. The annual income is increased by €15,000 for the spouse and €10,000 for each underage child of the applicant and/or his spouse. This income may come from salaries for work, pensions, share dividends, deposit interest, rents, etc., that come from abroad, which will only be evidenced through their tax declaration from the country where they declare they are a tax resident, for the cases where the applicant chooses to invest as Paragraph 2.1(A). In calculating the total income, the income of the applicant’s spouse can also be taken into account. In cases where the applicant chooses to invest as per Paragraphs 2.1(B), 2.1(C) or 2.1(D), the total income or part of it may also come from sources originating from activities within the Republic, provided that it is taxed in the Republic.
3 QUALITY CRITERIA
3.1 The applicant and his spouse must submit a clean criminal record certificate from their country of origin and from their country of residence if it differs, and generally not pose a threat to public order or public safety in any way.
3.2 The applicant and the dependent members of his family must submit a Health Insurance Certificate for medical and pharmaceutical care that covers inpatient and outpatient care.
3.3 The applicant and his spouse will certify that they do not intend to be employed in the Republic, except for their employment as Directors in a Company in which they have chosen to invest under this policy.
3.4 In cases where the investment does not concern the share capital of a Company, the applicant and/or his spouse can be shareholders in Companies registered in Cyprus and the income from dividends in such companies should not be considered as an obstacle for the purpose of acquiring the Immigration Permit. They can also hold the position of Director in such companies for free.
3.5 In cases where the applicant chooses to invest as per Paragraphs 2.1(B), 2.1(C) or 2.1(D), he must present evidence regarding his and his family members’ place of residence in the Republic (e.g., property title deed, sales agreement, rental agreement).
In cases where the applicant chooses to invest as per Paragraph 2.1(A), but the number of bedrooms in the investment property cannot meet the needs of the dependent family members, he must indicate another property or properties that will constitute the place of residence for these individuals (e.g., property title deed, sales agreement, rental agreement).
LEGAL DOCUMENTS
4.1 Investment in a house/apartment or other real estate:
The applicant submits with his/her application the title deed or sales contract in his/her and/or spouse’s name that has been deposited at the Department of Lands and Surveys for a house or other building of a market value of at least €300,000 (plus VAT if applicable) and official receipts for payment of at least €300,000 (excluding VAT), regardless of the delivery date of the property. It is understood that at the time of application, proof must be provided that the investment funds have come from abroad and do not originate from internal borrowing (transfers, payment receipts with an international card, bank certificate) which must be connected to the respective investments. The balance of the investment value should be paid into the seller’s account at a financial institution in Cyprus.
It should be noted that the property purchase will be accepted even when made by a legal entity in which the applicant and/or his/her spouse are the sole shareholders or the ultimate beneficiaries and which is legally established in the Republic or in another member state of the European Union or the European Economic Area.
For the purposes of applying Paragraph 2 in relation to the purchase of a house/apartment, it is clarified that:
(a) The applicant can purchase up to two (2) housing units (apartments or houses), provided that the total market value meets the provisions of Paragraph 4.1 above. In the case of a couple, this condition applies collectively to the couple. (b) The purchase must concern houses sold by the development company to a buyer for the first time, unless the purchase of the houses was made before 07/05/2013. Sales contracts relating to resale of homes and which have been submitted to the Land Registry before 07/05/2013 (the submission date of the sales documents will be confirmed by the Department of Lands and Surveys), will be accepted for the purposes of implementing this policy. It should be noted that the properties do not necessarily have to be purchased from the same land development company.
In cases where the sales contract has been signed or the title deed for the property has been issued in a period exceeding one year from the date of application submission, the applicant is obliged to submit along with his/her application a recent Certificate of Property Ownership Research from the Department of Lands and Surveys.
4.2 Investment in the share capital of a Cypriot company with business activities and staff in Cyprus:
For the purposes of this policy, the applicant is required to make a total investment of €300,000, the company must have a physical presence in the Republic, and employ at least five (5) employees. In this case, the following documents must be provided: Shareholders Certificate and Company Incorporation Certificate from the Registrar of Companies and Official Receiver Business profile of the company including business goals etc. Proof of payment (e.g., bank transfer) Evidence of employee employment from the Social Insurance Department.
4.3 Investment in shares of a Cypriot Collective Investment Organization (type AIF, AIFLNP, RAIF):
For the purposes of this policy, the applicant is required to make a total investment of €300,000 in investment units whose investments must be made in the Republic of Cyprus and provide the following documents: Titles or other confirmation for the units purchased Proof of payment (e.g., bank transfer) Confirmation from the Securities and Exchange Commission for the establishment of the Fund Memorandum of the Fund or Investment Plan.
5 DEPENDENT PERSONS OF THE APPLICANT
5.1 The Immigration Permit is issued to the applicant. This includes the applicant’s dependents, which are the spouse and minor children under 18 years old.
If desired, it is possible to issue two separate Immigration Permits to each member of the couple without the obligation and the second person meeting the above criteria, provided that a separate application will be submitted and the corresponding fee will be paid.
It is understood that in the event that the Immigration Permit granted to the investor is canceled for any reason, it will imply the activation of the process of canceling the Permit for the other part of the couple, based on the provisions of Regulation 6 of the Foreigners and Immigration Regulations.
5.2 Unmarried children aged from 18 up to 25 years old, only when they are proven tertiary education students abroad at the date of application submission and which are financially dependent on the applicant, can submit their own, separate application for obtaining an Immigration Permit by submitting the corresponding fee. In such a case, the father or mother and/or both parents together must present an additional annual income of €10,000 for each such dependent child.
If the children are students at Higher and Supreme educational institutions of the Republic, they must submit an application for obtaining a temporary stay permit in the Republic as students based on the relevant legislation (EU Directive). After completing their studies in Cyprus, they can submit their own application for obtaining an Immigration Permit, as mentioned above with the payment of the corresponding fee, regardless of their age with the only precondition that the parents will present an additional annual income of €10,000. The said Permit will continue to be valid even after the completion of 25 years of age even if the child is no longer unmarried and/or a student and/or financially dependent on his parents. It is understood that the spouse and minor children of them cannot be included as dependent persons in the said Permit. It is also understood that in the event that the Immigration Permit granted to the investor/parent is canceled for any reason, it will imply the activation of the process of canceling the Permit for this child, based on the provisions of Regulation 6 of the Foreigners and Immigration Regulations.
6 HIGHER VALUE INVESTMENT FOR INCLUSION OF ADULT CHILDREN
An Immigration Permit can also be granted to adult children of the applicant who are not financially dependent on the latter, provided that a higher value investment is made, based on the provisions of Paragraph 2, as defined below: The market value of the investment of €300,000 must be multiplied according to the number of adult children who will invoke the same investment for the purpose of obtaining an Immigration Permit. For example, if the applicant has one adult child, they should make an investment of €600,000 value; if they have two adult children, the value of the investment must be €900,000 and so on.
In case the investment will concern the purchase of real estate, that is, where the applicant chooses to invest as per Paragraphs 2.1.(A) and 2.1.(B), along with the application, a certificate of payment of at least 66% of the market value of the properties should be submitted.
It is understood that in such a case each adult child must be able to prove that they have at their disposal an assured annual income of at least €50,000, which will increase by €15,000 and €10,000 respectively for each dependent person, as per the provisions of Paragraph 2.2. Additionally, it is noted that the investment can be made jointly in the name of the applicant and the adult child, or exclusively in the name of the applicant.
It should be noted that in cases where the number of bedrooms in the property of the investment cannot satisfy the needs of the dependent members of the investor’s family, they must indicate other property or properties that will constitute the place of residence of these persons (e.g., property ownership title, purchase agreement document, rental document).
7 SUBMISSION AND EXAMINATION PROCEDURE
Applications, along with the required accompanying documents, should be submitted to the Migration Department either personally or through a representative, by appointment or by any other method decided. Upon submission of the application, a fee of €500 is paid, as well as a fee of €70 for each person included in the application for the issuance of the Alien Registration Certificate (ARC) in cases where one does not exist.
In case of submission of the application through a representative, it should be accompanied by a written certified authorization of the applicant, in which the full details of the representative should be mentioned, along with their address and contact numbers.
The application will be quickly processed by the Migration Department and will be submitted to the Minister of Interior, through the General Director of the Ministry of Interior.
8 TIMELINES
Provided that all the criteria of this policy are met, and there are no reasons concerning either the applicant’s criminal record, or issues of public order and public safety, the application will be forwarded for examination and decision by the Minister of Interior.
It is estimated that the period of examination of the application from the date of submission of the completed application, will be approximately two (2) months.
9 MONITORING MECHANISM OF CRITERIA COMPLIANCE AND INVESTMENT MAINTENANCE
The applicant is obliged to submit to the Migration Department, on an annual basis from the date of acquisition of the Immigration Permit, data that prove that they maintain the investment, that they maintain the required income determined for them and their family and that they and their family members are health insurance certificate holders, in case they no longer continue to be beneficiaries in the General Health System (GESY). In addition to the above, the applicant and the adult members of their family are required to submit annually a clean criminal record certificate from their country of origin, as well as from their country of residence. It is understood that, in case the holder of the Immigration Permit fails to prove the above, it will result in the activation of the cancellation procedure of the Permit of the same and their family members based on the provisions of Regulation 6 of the Foreign and Immigration Regulations.
START OF REVISED POLICY VALIDITY
The present policy comes into effect on 02/05/2023.
ADDITIONAL INFORMATION AND CLARIFICATIONS
Clarifying announcement for the 4th revision of the criteria relating to the rapid process of granting immigration permits to applicants who are nationals of third countries and invest in Cyprus – 17/5/2023
Regarding the 4th Revision of the criteria relating to the rapid process of granting Immigration Permits to applicants who are nationals of third countries and invest in Cyprus implemented on 02/05/2023, the following are clarified:
Paragraph 1.2: The money from abroad that will be used to pay for the investment can come from a company bank account of which the applicant and/or their spouse are the sole shareholders, provided that the shareholder will be included in the application. The same applies to the amount of the investment value that will be paid into the seller’s account at a Cypriot financial institution.
Paragraph 2.2: The applicant’s annual income can be proven either through their tax return from the country where they declare tax residency or through official confirmations from an independent certified accountant.
Paragraph 9: For the mechanism of compliance monitoring and investment maintenance, the requirement for annual submission of proof that the applicant maintains the income set for them and their family members is abolished.
The applicant and the adult members of their family are required to submit a clean criminal record certificate from their country of origin and their country of residence every three years, instead of annually. The requirement to submit evidence by the applicant proving the maintenance of their investment annually, as well as that the applicant and their family members are health insurance certificate holders in case, they no longer continue to be beneficiaries of GESY, continues to apply.
The documents accompanying the application must be properly translated and certified.
PERMIT DURATION
The right of residence granted with the approval of the application to the investor and the adult dependent members of their family is of unlimited validity. However, the residence permit (card) has an expiration date 10 years from its issue, and upon its expiry, it must be replaced. The residence permit issued to the minor dependent members of the family is valid until they reach adulthood (18 years).