Maltese citizenship for exceptional services by direct investment: Complete Guide

Malta has no citizenship-by-investment program; the Individual Investor Programme was closed in 2020. Now, the country’s citizenship paths for foreigners include only registration or naturalisation.

Malta citizenship by naturalisation for exceptional services by direct investment is a possible option for wealthy non-EU nationals. Investors get a Malta residence permit. Then, after one to three years, they can submit a citizenship application. The Maltese Citizenship Act provides this path.

To obtain Malta citizenship for exceptional services, applicants fulfil several investment conditions, reside in Malta, and pass a strict Eligibility Test.

Living in Malta offers a unique Mediterranean experience with a blend of rich history, vibrant culture, and modern amenities. Visiting and exploring the island is beneficial for a true feel for life there.

Learn the benefits and obtaining terms of Maltese citizenship for investors

Investors and their family members can become Maltese citizens if they meet all the requirements and successfully pass the Eligibility Test, which is a complicated Due Diligence check.

Only official representatives, licensed by the Malta government, can submit applications on behalf of investors. The law does not allow investors to apply independently.

The main applicant must meet the following criteria:

• non-EU citizenship,

• legal income sources,

• no criminal convictions,

• no sanctions or visa denials in the countries with which Malta has visa-free agreements.

How to get Malta citizenship

Investors fulfil several investment conditions and can decide whether to buy or rent a property and get a passport after one or three years of residency.

Spouses, children up to 29 and parents over 55 may be included in the application. The final investment amount depends on family composition.

State fees for the main applicant include €15,000 for the Eligibility Test, €5,000 for residence card issuance, and €3,000 for administrative fees. The fees are higher if family members are added to the applications.

It is profitable to buy housing in Malta: real estate can be sold after five years with a return on investment. Rent brings in from 5 to 15% per annum, and the cost has grown by 4—6% per year since 2015.

Buying real estate in Malta can be an attractive option due to the island’s stable property market and strategic location in the Mediterranean. Foreigners buy property in Malta to:

• rent it out;

• make a liquid asset investment;

• spend vacations in the country;

• get temporary or permanent residency.

Residential property prices in Malta grow by 3—6% or more, depending on the type. For example, modern business-class apartments become 18—25% more expensive annually at the construction stage and about 10% more expensive afterwards.

The foreigner must obtain a permit or permission from the AIP. This is obtained from the Ministry of Finance, which usually takes 6—8 weeks. However, these restrictions extend to properties in Specially Designated Areas, SDAs, with luxury complexes with infrastructure.

Expatriate investors often prefer to buy property in SDAs as the process is simpler, quicker and more profitable:

• no restrictions on the amount of property that can be bought or rented;

• no AIP approval is required;

• property can be registered in the name of an individual and in the name of a company, which is difficult to do with property outside SDAs.

Examples of properties in Malta

Malta, Kalkara

€300,000 — €1,900,000

Apartments in a large-scale residential project on the first coastline

71 m² — 310 m²

1—3

1—3

Malta, Sliema

€920,000 — €1,300,000

Apartments in a new residential high-rise project near the sea

176 m² — 211 m²

2—3

2

Malta, Valletta

€1,510,000 — €3,370,000

Modern apartments not far from sea in Valetta

123 m² — 281 m²

1—3

1—3

Many businesspeople plan to move to Malta to transfer assets to the country and benefit from the country’s tax system. However, investors don’t receive tax incentives after obtaining a Malta passport.

Acquiring citizenship doesn’t always lead to paying taxes in Malta. Persons who hold a Maltese passport but reside and get income from sources in other countries are not regarded as tax residents. They usually do not have to pay Maltese taxes on their income unless they earn money in Malta — for example, by renting a property out.

To become a Malta tax resident, an investor must live there for at least 183 days a year.

1. Visa-free travelling. Malta’s citizens can travel to more than 160 countries worldwide without getting visas in advance. All Schengen states, the United Kingdom, the United States, Canada, and Australia are visa-free for Maltese nationals.

2. Residing in Malta and other EU countries. All citizens are guaranteed the right to enter and stay in Malta. In addition, they are free to live and work in any other EU or Schengen country.

After several months of living in another EU state, Malta citizens must report their presence to the relevant authorities. The rules depend on the country; one can usually spend up to three months in an EU country without getting additional documents.

3. Access to top-grade medical care. Maltese citizens with health insurance covered by the national health insurance system can receive free care in public clinics and hospitals. Also, there are some high-quality private clinics.

Malta spends about 10% of its GDP on healthcare, which is quite a lot. According to Statista, the country ranks 11th in the world in terms of the health index score. The health index evaluates a population’s health level, access to healthcare, health outcomes, risk factors for disease, and mortality rates.

4. Opportunities for international business. Investors with Malta passports can launch businesses in Malta or other EU countries. It is possible to grow a company internationally and run it more successfully.

5. Education for the youngest. Maltese nationals’ children can attend schools and universities in Malta and within the EU. Additionally, in some countries, their tuition costs will be considerabl

Arthur, 51 years old

has a real estate business

Malta citizenship for the freedom of travelling

A married couple, Artur and Anna, live in Armenia. They have three kids. The youngest is enrolled in an Armenian school and intends to attend a UK university, and the two seniors study at American universities.

The couple’s most significant goal was to increase their mobility. They had to wait a long time for their US visas to visit their children. In addition, there would also be an issue with travelling to the UK.

Immigrant Invest helped Artur solve the problem with visas for the whole family: they got Malta citizenship.

Learn a case

Malta citizens are permitted to have dual citizenship. A person does not have to give up their original passport to get a Maltese one.

One can only retain the citizenship of both countries if the state of origin allows dual citizenship. Some countries, such as China, Japan, India, and Thailand, prevent their citizens from getting multiple citizenship. If their nationals acquire Malta passports, they must renounce their previous citizenship.

1. Malta citizenship by naturalisation for exceptional services by direct investment is suitable for investors from non-EU countries. They get a residence permit and apply for citizenship after one or three years. The minimum investment amount is €690,000.

2. A contribution sum defines when the investor can apply for citizenship: if it is at least €600,000, the residence permit must be kept for 3 years. If an investor contributes €750,000, the residence period is 1 year.

3. Getting Malta citizenship requires all of the following conditions to be met: a contribution to the National Development and Social Fund of €600,000, a charitable donation of €10,000, and renting real estate for 5 years for €16,000 annually or purchasing one for €700,000.

4. Close family members can join the main applicant and get Malta citizenship.

5. An investor with a Malta passport has the same freedom and rights as any other Malta citizen. They are free to travel to 160+ countries, have simple access to high-quality healthcare and education, and may reside in a country with a high-level standard of living.