On November 19, 2024, the Malta Immigration Authority officially announced new regulations that comprehensively revise the current Malta Permanent Residence Program (MPRP). This news has sent shockwaves through the immigration community. According to the latest announcement, these changes will take effect on January 1, 2025, meaning that applicants seeking to obtain permanent residency in Malta through investment will face higher thresholds and additional requirements. Does this change signal a gradual disappearance of opportunities for immigration to Europe? Here is the official statement from the Malta Immigration Authority:
Requirements for Submitting Malta Permanent Residency Applications Before December 31, 2024
If you wish to submit your application before December 31, 2024, you must meet the following conditions:
– Submit your application through a licensed agent.
– Pay a non-refundable administrative fee of €40,000.
– Choose one of the following options to acquire property:
– Renting: A minimum annual rent of €10,000 in the southern regions of Malta or Gozo; a minimum annual rent of €12,000 in other areas.
– Purchasing: A minimum purchase price of €300,000 in the southern regions of Malta or Gozo; €350,000 in other areas.
– Make a government contribution: €28,000 for purchasing, €58,000 for renting.
– If there are additional applicants such as the main applicant’s parents or grandparents, an extra fee of €7,500 per person is required.
– Retain the qualifying property for at least five years, after which a new residential address must be provided.
– Donate €2,000 to a local charity, cultural, scientific, artistic, sports, or animal welfare organization registered with the Commissioner for Voluntary Organizations.
– Hold a valid travel document.
– Purchase health insurance that covers all risks in Malta and other European countries.
Requirements for Submitting Malta Permanent Residency Applications After January 1, 2025
If you wish to submit your application after January 1, 2025, you must meet the following conditions:
– Submit your application through a licensed agent.
– Pay a non-refundable administrative fee of €50,000.
– Choose one of the following options to acquire property:
– Renting: A minimum annual rent of €14,000 in Malta or Gozo.
– Purchasing: A minimum purchase price of €375,000 in Malta or Gozo.
– Make a government contribution: €30,000 for purchasing, €60,000 for renting.
– Each additional applicant must pay €10,000.
– Retain the qualifying property for at least five years, after which a new residential address must be provided.
– Donate €2,000 to a local charity, cultural, scientific, artistic, sports, or animal welfare organization registered with the Commissioner for Voluntary Organizations.
– Hold a valid travel document.
– Purchase health insurance that covers all risks in Malta and other European countries.
The above outlines the entire statement. To clarify further, we have created a comparison table.
| Item | Old Policy | New Policy |
|---|---|---|
| Administrative Fee | €40,000 (with €10,000 paid at application) | €50,000 (with €15,000 paid at application) |
| Minimum Purchase Price | €300,000 | €375,000 |
| Minimum Rent Price | €10,000/year | €14,000/year |
| Government Contribution | Purchase: €28,000; Rent: €58,000 | Purchase: €30,000; Rent: €60,000 |
| Charitable Donation | €2,000 | €2,000 |
| Additional Applicant Fee | No fee for children and spouse; €7,500 for parents | €10,000 for each additional applicant (including children, spouse, and parents) |
As shown in the table, the main changes between the old and new policies are:
– Government Contribution: The new policy increases the government contribution by €2,000, raising the purchase contribution from €28,000 to €30,000 and the rental contribution from €58,000 to €60,000.
– Property and Rent Requirements: The new policy raises the minimum purchase price and minimum annual rent requirements to reflect a higher economic threshold.
– Additional Applicant Fees: The new policy requires an additional fee of €10,000 for each additional applicant, including children, spouse, and parents.
Cost Comparison of Old and New Policies
Assuming a family of three (one main applicant, one spouse, and one minor child) is applying for Malta’s permanent residency, we can compare the costs of buying and renting under the old and new policies:
Buying Costs
| Item | Old Policy | New Policy |
|---|---|---|
| Administrative Fee | €40,000 | €50,000 |
| Minimum Purchase Price | €300,000 | €375,000 |
| Government Contribution | €28,000 | €30,000 |
| Charitable Donation | €2,000 | €2,000 |
| Additional Applicant Fee | Not applicable | €10,000 (spouse) + €10,000 (child) |
| Total | €370,000 | €477,000 |
Renting Costs
| Item | Old Policy (5-year term) | New Policy (5-year term) |
|---|---|---|
| Administrative Fee | €40,000 | €50,000 |
| Rent Costs | €50,000 | €70,000 |
| Government Contribution | €58,000 | €60,000 |
| Charitable Donation | €2,000 | €2,000 |
| Additional Applicant Fee | Not applicable | €10,000 (spouse) + €10,000 (child) |
| Total | €150,000 | €202,000 |
As a result, under the new policy, the family would need to pay €477,000 to immigrate by purchasing property, and €202,000 if they choose to rent. In contrast, under the old policy, the costs were significantly lower, with €370,000 for purchasing and €150,000 for renting. The new regulations clearly tighten the requirements, leading to a substantial increase in application costs. This shift, with higher asset requirements and mandatory contributions for each dependent, indicates the government’s intention to attract applicants with greater financial means. This change poses a significant challenge for small to medium investors.
The Future of Immigration to Europe
Malta’s policy adjustment is expected to spark widespread discussions about the future of immigration to Europe. As more countries tighten their immigration policies, previously open pathways are becoming increasingly restricted. This trend not only affects applicants wishing to settle in Europe but may also have broader implications for the economic and social structures of the continent.
In this context, applicants should closely monitor changes in immigration policies across various countries and adjust their immigration plans accordingly. Given the demand for high-quality talent in many nations, investors should consider not only the financial thresholds but also the living environment, educational resources, and future development potential of their chosen immigration destinations.
As the landscape of European immigration continues to evolve, staying informed and adaptable will be crucial for those seeking new opportunities abroad.
Copyright © Malta-life.com
