Greece is set to tighten its Golden Visa program with new requirements for foreign investors, including a higher investment threshold and stricter business criteria. Discover what the changes mean for future applicants and how the program benefits residency seekers.
Greece is set to make significant changes to its eleven-year-old Golden Visa program. Following a major increase in the investment threshold in September, the Greek Parliament is now debating a new bill aimed at tightening eligibility criteria for prospective investors.
Key Changes to Greece’s Golden Visa
The proposed amendments aim to strengthen the Golden Visa Program and ensure that foreign investments contribute meaningfully to the Greek economy. Key changes include:
1. Minimum Business Investment Stake: Foreign investors who choose to acquire a stake in an existing business must now hold at least one-third of the company’s capital or voting rights.
2. Job Creation Requirement: The investment must result in the creation of a minimum of two new jobs within the first year of the investment.
3. Long-Term Job Sustainability: The newly created jobs must be maintained for a minimum of five years after the investment to ensure sustainable economic contributions.
A Brief History of Greece’s Golden Visa Program
Introduced in 2013 during a period of economic turmoil, the Golden Visa program was designed to attract foreign investment and stimulate economic growth. Initially, the minimum investment requirement was €250,000, but it was increased to €500,000 in August 2023, with most investments directed toward property purchases.
However, in recent years, concerns arose about the impact of the program on the country’s housing market. In response, the government implemented a significant increase in the investment threshold to €800,000 in September 2023.
Rising Investments Despite Changes
Despite the stricter regulations, Greece continues to be a popular destination for foreign investors. In 2023, the country attracted approximately €2.5 billion in Golden Visa investments, nearly double the previous year’s figure. Experts predict that this year’s investment could surpass €3 billion.
Changes in Other Golden Visa Programs
While Greece is tightening its Golden Visa rules, other European nations are moving away from such programs. Both Spain and Portugal decided to abolish their Golden Visa schemes in 2024, citing concerns over property prices and local housing availability.
Conversely, Hungary and Italy continue to operate similar programs, even as they face debates over immigration policy.
Eligibility Criteria for Greece’s Golden Visa
To qualify for Greece’s Golden Visa, applicants must meet the following requirements:
• Minimum Age: Applicants must be at least 18 years old.
• Residency: They should reside outside the European Union.
• Medical Insurance: Mandatory health insurance is required for both the applicant and their family members.
• Clean Criminal Record: A clear criminal history is essential for eligibility.
Benefits of Greece’s Golden Visa
Holding a Greek Golden Visa offers several advantages:
• Residency for Family: The main applicant, their spouse, and children under 21 are granted residency rights.
• Schengen Travel: Visa holders can travel freely within the 27 countries of the Schengen Area without additional visas.
• Tax Benefits: Investors can benefit from Greece’s double tax avoidance treaties, reducing tax liabilities in eligible countries.
Impact of the Golden Visa on Greece’s Economy
Greece’s Golden Visa has boosted the economy, particularly in real estate and tourism, attracting international investors. Despite some criticism, recent changes aim to enhance economic benefits through job creation and sustainable investments, keeping Greece a popular gateway to Europe.
Conclusion
Greece’s revised Golden Visa program balances foreign investment needs with housing and economic concerns. While stricter rules may deter some, the program remains appealing for global investors, keeping Greece a top destination as Europe reassesses residency-by-investment schemes’ long-term impact.
Source: https://travelobiz.com/greece-tightens-golden-visa-rules-higher-investment-stricter-eligibility/
