Maria DiamantiCyprus Law Firm
Following the amendment of the Citizenship by Investment Scheme on the 13th of September 2016, bank deposits are no longer an eligible investment. A prospective citizenship applicant must proceed with an investment of at least €2 million in the either of the following eligible economic criteria: (1) an investment in real estate, land development and infrastructure projects (residential or commercial or development in the tourism sector). (2) Investment in Cypriot companies or organizations established and operating in Cyprus. These companies or organizations must have physical presence in Cyprus, with significant activity and turnover and employ at least 5 Cypriot or EU citizens. (3) Investment in Alternative Investment Funds or financial assets of Cypriot companies/organizations that are licensed by the Cyprus Securities and Exchange Commission. The investment made in such organizations must be directed exclusively in Cyprus. (4) A combination of the aforementioned criteria provided that the total investment will be least €2 million, which can also include investment in government bonds of up to €500.000. It is further noted that the prospective applicant must possess a permanent privately-owned residence in the Republic of Cyprus, the purchase price of which must be at least €500.000 (plus VAT if applicable). Additionally, it is noted that, if the applicant has invested in housing unit/units on the basis of the first criterion, the purchase of another permanent residence in Cyprus will not be required if at least one of these housing units is worth at least €500,000 (plus VAT if applicable), provided that the applicant retains the possession of the residence for life.