All ways to obtain Luxembourg citizenship: a complete guide

Luxembourg is a small European country known for its high standard of living, strong economy, and diverse culture.

Obtaining Luxembourgish citizenship can be an attractive option for individuals who wish to live and work in Luxembourg or take advantage of its benefits as an EU member state. Luxembourg nationality can be granted on the following grounds.

Countries that offer second citizenship by investment

By naturalisation. Non-Luxembourgish nationals can be naturalised if they have legally lived in Luxembourg for at least 5 years, speak Luxembourgish and have passed the test about the history and citizens’ fundamental rights.

By marriage. A foreign national married to a Luxembourger is eligible for Luxembourg citizenship if they also prove knowledge of the language and complete the history and civil rights course.

Luxembourg citizenship by investment is not available. If you need a second passport, you can participate in citizenship-by-investment programs in other countries. For example, Turkey offers a direct way to obtain a second passport with a minimum investment starting at $400,000.

Other options to become a citizen include studying in Luxembourg for 7 years, legally residing in the country for 20 years, as a volunteer soldier who has completed a year of loyal service and as a refugee.

Luxembourg citizenship by birth and descent is granted to all children born in Luxembourg or anywhere else to at least one biological Luxembourgish parent. Minors born in Luxembourg to unknown parents are also granted Luxembourgish nationality.

Minors adopted by Luxembourgish or foreign nationals with a legal and usual place of residence in Luxembourg are eligible for citizenship, too.

Only 0,007% of Earth’s population are Luxembourgers — so you’d be in a unique company. But Luxembourg nationals enjoy so many practical benefits other than scoring vanity points.

1. Access to the European Union and Schengen Area. Luxembourg is a member of the European Union and Schengen Area. Therefore, not only do the citizens of Luxembourg hold EU citizenship, but they are also free to travel to and work in any member state without the need for a visa.

2. Social benefits. Luxembourg has a strong social welfare system, which provides its citizens with access to healthcare, education, and various social services. The government also offers financial assistance to those in need.

3. Economic opportunities. In the past, steel production was the main source of Luxembourg’s prosperity. As that industry began to wane, Luxembourg diversified and became renowned as the most potent investment management centre in Europe.

4. High quality of education. Primary, intermediate, and tertiary education are all provided free of charge by the government of Luxembourg. Another solid reason to study in Luxembourg is that the nation is home to top universities.

5. Multilingual environment. Luxembourg is a multilingual country where Luxembourgish, French, and German are official languages. Due to its diverse population and the presence of international organisations, English is also widely spoken and understood in business, finance, and the international community.

6. Cultural diversity. Luxembourg boasts a rich cultural tapestry influenced by its neighbouring nations. This results in a fusion of traditions and inspirations that find expression in its culinary delights, festive celebrations, and artistic expressions.

7. Political stability. Luxembourg has a stable political environment and is known for its strong institutions and low levels of corruption.

8. Real estate and investment opportunities. Luxembourg has a robust real estate market and investment opportunities, making it attractive for those interested in property ownership or investment. Since 2010, the Luxembourger market has grown by 5,2% on average every year. By 2028, the value of the residential real estate market is predicted to expand at a rate of 6,19%.

9. Strong passport. Luxembourg’s passport is considered one of the most powerful in the world in terms of visa-free travel. As per data available from early 2024, Luxembourgish citizens can visit 172 countries without a visa or with electronic visa or visa-on-arrival privileges.

Naturalisation is available to all foreign adults, provided they have:

• legally resided in Luxembourg for at least 5 years. The final year of residence preceding the naturalisation application must be uninterrupted;

• learned the basics of Luxembourgish, as evidenced by a language test pass certificate;

• taken the Vivre Ensemble au Grand-Duché de Luxembourg course that covers crucial topics of the history of Luxembourg and fundamental rights granted to its nationals.

The naturalisation procedure is free of charge, but Luxembourg communes may request the payment of a municipal tax in exchange for preparing copies of status records.

Applicants must submit the following documents to the civil registrar in support of their naturalisation application:

• birth certificates of their children under 18;

• a valid passport and, if applicable, that of their children aged under 18;

• biographical details signed by the applicant or their legal representative;

• a no criminal record certificate in the foreign country of which the applicant is or was a national;

• a Luxembourgish language test pass certificate;

• a certificate confirming the applicant attended the Vivre Ensemble au Grand-Duché de Luxembourg course or passed an exam covering the course.

The documents must be submitted in French, German, Luxembourgish or English. If this is impossible, the translation must be performed by a sworn translator or a foreign public authority.

To proceed, the applicant must submit an application for naturalisation in person in the commune of residence. The applicant or their legal representative must sign the application, but a signature by proxy is not permitted.

Acquiring Luxembourgish nationality is subject to a condition of good repute. Luxembourgish nationality is refused if the applicant:

• made false statements, concealed important information or acted fraudulently during the naturalisation procedure;

• received a criminal or custodial sentence of 12 months or more, or a suspended sentence of 24 months or more in the Grand Duchy of Luxembourg or abroad.

Marriage to a Luxembourg national is one of the options to obtain citizenship in the country. But getting married is just the first step — the spouse of a Luxembourg citizen must also have knowledge of the Luxembourgish language and complete the Vivre Ensemble au Grand-Duché de Luxembourg course.

An applicant must submit the documents to the civil registrar in support of their naturalisation:

• a marriage certificate;

• proof of residence;

• other documents specified by the authorities.

If the application is approved, performing an oath of allegiance to Luxembourg is the final step to naturalisation. After taking the oath, an applicant will receive a naturalisation certificate confirming Luxembourgish citizenship.

Complete at least 7 years of schooling in a public or private school in Luxembourg. The final year prior to the application for naturalisation must be uninterrupted.

Legally reside in Luxembourg for at least 20 years to apply for Luxembourgish nationality. The applicant takes a Luxembourgish language course focusing on speaking and listening skills. The length of the course is 24 hours.

Get a refugee or subsidiary protection status. Any person who fears persecution for reasons of race, religion, nationality or political stance in another country can ask for protection and, eventually, citizenship in Luxembourg.

Volunteer as a soldier. Soldiers who have completed at least one year of loyal service to the Grand-Duchy of Luxembourg, as certified by the Luxembourg Army’s Chief of Staff, have grounds to become citizens.

There is no direct way to Luxembourg’s citizenship by investment, but foreign nationals can obtain a Luxembourg residence permit by investment.

The Luxembourg Residence by Investment Program is ideal for high-net-worth individuals who wish to enjoy the benefits of residing in one of Europe’s wealthiest countries. The program allows investors and their families to receive temporary authorisation, enabling them access within Luxembourg and across the European Union and Schengen Area.

How to get a Luxembourg Golden Visa

Under the program rules, an individual has to invest in one of the following ways:

• €500,000 in an existing company with an office registered in Luxembourg. The investment must be held for five years;

• €500,000 in a new business with a registered office in Luxembourg. The company must hire five full-time employees with the help of The National Employment Agency;

• €3 million capital contribution in a management and investment structure, private equity or venture capital funds;

• €20 million in the form of a deposit to a Luxembourg financial institution. The sum must be held for five years.

Residence by private reasons is an alternative path for those who plan to live but not work in Luxembourg. To qualify, one has to submit proof of an annual income of at least €27,000 and permanent accommodation in the country.

To apply for Luxembourg residency by investment, an applicant needs the following documents:

• an application form with a photo;

• proof of accommodation;

• financial self-sufficiency documents;

• a birth certificate;

• an international passport;

• documents like an employment contract that proves investor income is legal;

• certificates of no criminal records;

• a health insurance policy;

• documentation of payment of state taxes and fees;

• documents confirming the fulfilment of the investment conditions stipulated in the application.

The application can be submitted to the Ministry of Finance or the Ministry of Economy once the preliminary due diligence check is finished.

If the application is successful, the applicant’s present country of residency is contacted to obtain a visa type D, which can be picked up at the nearest consulate or embassy.

The investor completes a medical examination within 90 days of gaining authorisation, applies for a residence visa, and registers with their commune of residence three days after arriving.

After completing these steps, the applicant will be issued a temporary residence permit.

Subject to renewal, the residence permit is initially valid for either three years for residence by investment or one year for residence by private reasons. Investors need to prove they’ve been in the country for a significant amount to renew their residence status.

The taxation system in Luxembourg is known for its favourable tax policies, including a network of double taxation treaties with numerous countries, which make the country a popular destination for businesses. Here is an overview of Luxembourg’s taxation system.

Personal income tax. Luxembourg has a progressive personal income tax system, with rates going up to 42% for those who earn €200,000 or more annually.

Countries without income tax

Corporate income tax. The standard corporate income tax rate in Luxembourg is 24,94%, but many companies benefit from various tax exemptions and deductions.

Real estate tax. A registration duty of 7% is levied on the sale or transfer of immovable property. An additional 3% tax is applied to the sale or transfer of commercial and mixed-use buildings located in the City of Luxembourg.

Rental agreements are not subject to registration obligation, with the exception of long-term agreements, when registration duty is 0,6%.

Municipalities levy an annual real estate tax at rates 0.7—1% of the unitary value of the real estate.

Gift taxes in Luxembourg can vary based on the relationship between the donor and recipient, with close relatives benefiting from lower tax rates or exemptions. The applicable rate between spouses is 4,8% of asset value and 14,4% between unrelated individuals.

Since January 1st, 2009, you can become a citizen of Luxembourg while retaining your citizenship from another country. However, you should check the specific laws and regulations of your home country, as some countries may have restrictions or rules regarding dual citizenship.

With dual citizenship, you can experience the joys of being an international traveller and reap the benefits that come with it.

Luxembourgish nationality is refused if the applicant:

• made false statements, concealed important information or acted fraudulently during the reclamation procedure in the Grand Duchy of Luxembourg or abroad;

• has a criminal or a custodial sentence of 12 months or more, or a suspended sentence of 24 months or more.

A conviction abroad constitutes a criminal offence under Luxembourg law. Except for cases of rehabilitation, the sentence must have been served less than 15 years before the reclamation of citizenship.

Women who lost their status as Luxembourgish nationals on the grounds of a criminal conviction cannot be refused the right to reclaim their citizenship. The exception is if the husband has a nationality other than Luxembourgish.

Malta citizenship by naturalisation for exceptional services by direct investment. According to the legislation, foreigners wishing to get Malta citizenship for exceptional services must fulfil three financial conditions:

1. Buying or renting real estate in Malta that costs €700,000 or more. Money cannot be invested in two real estate objects. If the applicant chooses to rent real estate, the rental should be at least €16,000 annually.

2. Making a contribution of €600,000 or €750,000 to the Malta National Development and Social Fund. The former is a path to residency within 3 years, while the latter accelerates the process to 1 year.

3. Making a charitable donation of €10,000 to a Maltese registered philanthropic, cultural, sporting, scientific, animal welfare, or artistic non-governmental organisation.

Turkey citizenship by investment. A contribution of at least $400,000 with the option of purchasing residential or commercial real estate is required to become a Turkish national. The time frame for getting a Turkish passport by investment is 6—8 months.

Turkey’s citizenship provides life in an economically stable country with low crime rates, a better environment, and broad education and healthcare opportunities.

Individual cost calculation for Turkish citizenship

Get the cost calculation

Portugal Golden Visa is an opportunity to obtain a Portuguese residence permit by contributing to the country’s economy. There are 5 investment options starting from €250,000. The residence permit is issued for 2 years. To maintain the status, one must spend at least 7 days a year in Portugal.

Portuguese citizenship can’t be obtained in five years through naturalisation.

Spain Golden Visa. Investors obtain residence permits by investing in the country’s economy at least €500,000. The most popular investment option is purchasing real estate. The first residence permit card is valid for 2 years, and can be extended for another 5 years.

After 5 years of living in the country, an investor can apply for permanent residence, and, after another 5 years, for Spanish citizenship.

Italy Golden Visa allows obtaining residency with the lowest investment sum of €250,000.

Also, investors can buy government bonds or securities, purchase shares in local companies or make a philanthropic donation. The initial residence card is issued for two years, with the possibility of extending for another three years.

Italy Golden Visa holders can apply for Italian citizenship based on 10 years of permanent residency.

Greece Golden Visa. To obtain a Greece residence permit, the applicant must invest at least €250,000 in the country’s economy. They can buy real estate, make a deposit in a Greek bank, or invest in securities.

After 5 years of living in the country, an investor can apply for permanent residence, and, after another 2 years, for citizenship.

1. There are several ways to acquire Luxembourgish nationality, including naturalisation, option declaration procedures, and reclamation procedures.

2. While Luxembourg does not offer citizenship by investment, foreigners can obtain residency through investment options ranging from €500,000 to 20 million.

3. Investors can get second citizenship in several countries, including Malta and Turkey. Some EU countries like Portugal, Spain, Italy, and Greece allow investors to obtain residence permits that lead to citizenship in 5—10 years.

4. Key benefits of Luxembourg citizenship include having a strong passport, living in one of Europe’s financial hubs, and access to a strong social welfare system and free education.

5. Since January 1st, 2009, Luxembourg has accepted the principle of dual nationality, allowing individuals to become citizens of Luxembourg while retaining citizenship from another country.