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Malta Fund from Citizenship by Investment Programme

Malta Sets up Fund from Proceeds of Citizenship by Investment Programme

The Government of Malta has set up a legal framework for the administration of proceeds of its highly successful Citizenship by Investment Programme (“MIIP”).  As of 2014, Identity Malta has received over four hundred (400) applications, with further growth set at approximately three hundred (300) applications for 2015.

The MIIP allows investors, to accede to citizenship, conditional to a thorough and rigorous due diligence process and adherence to an investment programme.  The main applicant must commit to a contribution of EUR 650,000, with spouses and children below the age of 18 contributing a further 25,000 each.  Unmarried children aged between 18 to 26 and dependant parents over the age of 55 must contribute a further EUR 50,000.

Furthermore, the main applicant must acquire an immovable property in Malta with a value of at least EUR 350,000 or rent a property with a lease value of EUR 16,000 per year.  In addition to such investment, the main applicant must commit to an investment in government approved bonds, stocks or debentures with a value of at least EUR 150,000 which have to be held for at least five (5) years.

The proceeds of the MIIP shall be administered by the National Development and Social Fund Agency, an entity that has been established ad hoc by virtue of Legal Notice 2 of 2015.  The aforesaid agency has established a series of criteria for the investment of such funds, all aimed at the furtherance and development of the island’s social and economic development.  A percentage allocation system shall be in place to ensure an equitable distribution, with allocations being assured towards projects of national importance, of projects that promote and support education and justice, as well as nurturing job creation and catalysts to competitiveness.

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