Vanuatu passport by investment: a detailed guide
Vanuatu is the only country in Oceania where citizenship is granted by investment. The first offers of the Citizenship by Investment — CBI — programme appeared here in the 1990s.
More recently, for example, the Vanuatu Economic Rehabilitation Programme (VERP) was created to rebuild the areas destroyed by Hurricane Pam in March 2015.
Nowadays, Vanuatu has several citizenship-by-investment offers, with the Development Support Programme and the CNO Future Fund currently available to investors.
Vanuatu passport by investment: a detailed guide
Ways to obtain Vanuatu citizenship
The Vanuatu CBI programme is the fastest in the world. Applicants receive passports within 1 to 4 months without even visiting the country.
There are three ways to obtain citizenship in Vanuatu:
Non-refundable contribution — $130,000;
CNO Future Fund — $157,000;
Investment-Government Bond Option — AUD 150,000.
The contribution offers the cheapest way to obtain citizenship in exchange for a non-refundable donation of at least $130,000 to the local government fund. The amount of the contribution depends on the number of family members included in the application for citizenship by investment.
Under the CNO Future Fund, investors may return money under certain conditions.
Investors who choose the Investment in Government Bonds option will apply through the government-nominated Master Agent. No one has been appointed to this position yet.
5 benefits of obtaining Vanuatu citizenship by investment
1. Quick processing time for citizenship applications. The processing time for applications ranges from 1 to 4 months.
2. Visa-free travel. The Vanuatu passport allows the holder to travel visa-free to 107 countries, including Hong Kong, Singapore, and Australia.
The Vanuatu passport also provides access to long-term B‑1/B‑2 Visitor Visas for the United States.
3. Attractive tax terms. Vanuatu has no taxes on worldwide income, dividends, wealth, or inheritance. Vanuatu citizenship also allows an investor to easily open accounts at European banks.
4. No residency requirements in Vanuatu. The applicant does not need to visit the island to obtain citizenship. Most Caribbean countries also do not have residency requirements for investors, apart from Antigua and Barbuda, where the applicant must spend at least 5 days over 5 years in the country.
5. Opportunity to return on investment. The CNO Future Fund investment option may offer an annual yield of 5%, making it possible to recoup $50,000 over 5 years.
Requirements for citizenship applicants
Vanuatu accepts applications from investors over 18 with proof of funds of at least $250,000 or the equivalent in their bank accounts.
Applications aren’t accepted from individuals with a criminal record of serious crimes or those against whom a criminal case has been opened in any country. It also excludes those included on a national or international list of wanted persons.
Applicants must also provide a medical certificate. An application for citizenship may be rejected if the person is seriously ill.
The following family members can apply for citizenship together with the investor:
a spouse;
children of the applicant and their spouse or adopted children under 18;
the investor’s unmarried children aged 18 to 25, provided they can prove they are financially dependent on the main applicant;
parents over 50, provided they can prove they are financially dependent on the applicant.
Vanuatu citizenship by a non-refundable contribution
Applicants obtain Vanuatu citizenship by contributing to the country’s development. The funds are allocated to support Vanuatu’s economy and combat natural disasters, such as the recovery efforts following Tropical Cyclone Harold.
The minimum contribution amount is $130,000 for a single investor, with the total price depending on the number of applicants. Besides, there is a Due Diligence fee and a banking fee for transferring the investment to Vanuatu.
The contribution is non-refundable and does not yield any income.
Expenses under the non-refundable contribution option
CNO Future Fund Option
The investor purchases units in the CNO Future Fund holding company to support sustainability and enhance the production of coconut oil used as a clean, renewable energy source.
The investment must be retained for a minimum of 5 years through a Vanuatu-registered international company, with the incorporation cost included in the option fees. The total investment amount remains unchanged when adding up to four additional people to the application.
The projected return on investment is up to 5% annually, potentially returning $50,000 to the investor over 5 years.
Expenses under the CNO Future Fund Option
Investment-Government Bond Option
The Reserve Bank of Vanuatu will issue 500 units of government bonds with zero interest rates, denominated in Australian dollars.
The minimum investment amount depends on the bond category:
AUD 180,000+ — $122,000+ — for bonds maturing in 24 months;
AUD 170,000+ — $115,000+ — for bonds maturing in 30 months;
AUD 150,000+ — $101,500+ — for bonds maturing in 36 months.
Investors who choose this option will apply through the government-nominated Master Agent. No one has yet been appointed to this position.
Individual cost calculation for Vanuatu citizenship
Step-by-step procedure for obtaining a Vanuatu passport
Applicants for a Vanuatu passport go through six stages in order to obtain a second citizenship and take 1—4 months.
Preliminary Due Diligence check by Immigrant Invest
Immigrant Invest is an official representative of the Vanuatu citizenship by investment programme and knows how to help clients avoid risks when submitting documents. To achieve this, an in-house Compliance Department conducts preliminary Due Diligence checks on prospective applicants.
Certified Anti-Money Laundering Officers provide a legal opinion and assess the chances of successfully participating in the programme. If they foresee potential difficulties with the application, lawyers propose ways to address these and reduce the chances of the investor being refused Vanuatu citizenship.
Immigrant Invest is an official representative of the Vanuatu citizenship by investment programme and knows how to help clients avoid risks when submitting documents. To achieve this, an in-house Compliance Department conducts preliminary Due Diligence checks on prospective applicants.
Certified Anti-Money Laundering Officers provide a legal opinion and assess the chances of successfully participating in the programme. If they foresee potential difficulties with the application, lawyers propose ways to address these and reduce the chances of the investor being refused Vanuatu citizenship.
Signing an agreement
The applicant can conclude an agreement with Immigrant Invest either in the company’s office or remotely. However, lawyers will need to receive copies of the passports of any family members participating in the programme.
The applicant can conclude an agreement with Immigrant Invest either in the company’s office or remotely. However, lawyers will need to receive copies of the passports of any family members participating in the programme.
Preparation of documents
Immigrant Invest lawyers assist applicants in collecting and correctly preparing the complete package of documents, the exact list of which varies in each case. As a rule, the standard package includes the following documents:
birth certificates of the applicant, spouse and children;
medical examination certificates for applicants over 18;
a certificate of marriage or divorce;
certificates of change of surname, if applicable;
national and foreign passports;
receipts from the university showing regular payments for the education of dependent children to serve as evidence of the dependence of adult children on their parents.
All copies of documents must be certified with an apostille and translated into English.
The lawyers prepare the documents according to the programme requirements. They are familiar with the aspects that the Government of Vanuatu monitors closely and address any ambiguities or complications that arise.
Based on the applicant’s documents, the lawyers then complete the government forms and send them to the applicant for signature.
Immigrant Invest lawyers assist applicants in collecting and correctly preparing the complete package of documents, the exact list of which varies in each case. As a rule, the standard package includes the following documents:
birth certificates of the applicant, spouse and children;
medical examination certificates for applicants over 18;
a certificate of marriage or divorce;
certificates of change of surname, if applicable;
national and foreign passports;
receipts from the university showing regular payments for the education of dependent children to serve as evidence of the dependence of adult children on their parents.
All copies of documents must be certified with an apostille and translated into English.
The lawyers prepare the documents according to the programme requirements. They are familiar with the aspects that the Government of Vanuatu monitors closely and address any ambiguities or complications that arise.
Based on the applicant’s documents, the lawyers then complete the government forms and send them to the applicant for signature.
Check by the Financial Intelligence Unit of Vanuatu
The FIU of Vanuatu checks the reliability of the investor and determines whether the application can proceed.
Documents required at this stage include:
a passport;
a certificate of no criminal record;
a CV with the main applicant’s biography.
The FIU of Vanuatu checks the reliability of the investor and determines whether the application can proceed.
Documents required at this stage include:
a passport;
a certificate of no criminal record;
a CV with the main applicant’s biography.
Applying for citizenship
The Citizenship Commission examines the investor’s package of documents, with meetings held twice a month. The Commission makes a decision on granting citizenship based on the results of the Due Diligence.
The Citizenship Commission examines the investor’s package of documents, with meetings held twice a month. The Commission makes a decision on granting citizenship based on the results of the Due Diligence.
Fulfilment of the investment condition
According to the law, the investor is required to transfer the money in two instalments: 25% when applying for citizenship and 75% after receiving approval. However, investors typically receive a single invoice for the total investment sum.
The payment must be completed within 90 days following the Citizenship Commission’s approval of the application.
According to the law, the investor is required to transfer the money in two instalments: 25% when applying for citizenship and 75% after receiving approval. However, investors typically receive a single invoice for the total investment sum.
The payment must be completed within 90 days following the Citizenship Commission’s approval of the application.
Receiving a passport
Once the agreed investment amount is received, the Citizenship Commission issues a naturalisation certificate and submits a passport request to the passport office.
The documents are then sent to the investor’s preferred address.
Once the agreed investment amount is received, the Citizenship Commission issues a naturalisation certificate and submits a passport request to the passport office.
The documents are then sent to the investor’s preferred address.
Honorary citizenship of Vanuatu
In April 2019, the Vanuatu government issued an order to remove the designation of honorary citizenship from the naturalisation certificate.
The change was made because the distinction could be used to differentiate between those who became citizens by investment and natural-born citizens, as the honorary status does not allow holders to hold positions in government or participate in politics. This was the only feature distinguishing honorary citizenship in Vanuatu from ordinary citizenship of the country.
It remains unclear whether citizens by investment will be given the right to vote, as the Vanuatu government has yet to issue an official statement on this subject.
In the Caribbean, for example, citizens by investment are allowed to vote as long as they reside in the country. Whether the same practice will be introduced in Vanuatu remains to be seen.
Vanuatu’s tax system
Vanuatu has a 0% tax rate on income, wealth, inheritance, capital gains, corporations, export of capital, and profit on the stock exchange. Tax rates on the island are the same for residents and non-residents.
The state’s tax system was designed with foreign investors in mind, as 15% of Vanuatu’s GDP is generated by income earned by international companies. The government is committed to creating a favourable legal and business environment.
International Business Companies registered in Vanuatu are exempt from tax for 20 years. They only pay an annual fee of $300, which is due by June 30th.
Vanuatu charges a 0% corporate tax for investors who buy an established company on the island. The owners of companies must control the movement of capital, monitor foreign exchange transactions, and maintain company accounts.
However, there is no requirement to file reports with government agencies or to audit the company accounts.
Taxes on real estate transactions. The renter or buyer of a property must pay a stamp fee of 5% and a registration fee of 2% of the transaction amount.
The main tax rates in Vanuatu are the following:
corporate tax — 0%;
personal income tax — 0%;
VAT — 15%;
capital gains tax — 0%;
withholding tax — 0%;
foreign exchange control — none;
government duty or stamp duty — $300—1,000.
Vanuatu restricts access to the financial information of companies registered in Vanuatu, as well as to business and personal information on the owners and beneficiaries. The information remains confidential under all circumstances, except when the company is involved in money laundering, fraud, or terrorism.
Countries with which Vanuatu has tax information exchange agreements include Australia, Denmark, the Faroe Islands, Finland, France, Greenland, Grenada, Iceland, Ireland, the Republic of Korea, New Zealand, Norway, San Marino, and Sweden.
Interesting facts about Vanuatu
Vanuatu is in the South Pacific archipelago, to the northeast of Australia. The country consists of 83 islands, 65 of which are inhabited. The length of the territory from north to south is 1,300 km.
The country gained independence in 1980, and its name was changed from New Hebrides to the Republic of Vanuatu.
Main facts about the country:
capital and largest city — Port Vila;
official languages — Bislama, French, English;
population — 341,558;
currency — Vanuatu Vatu, VUV;
time zone VUT — UTC +11;
traffic — on the right hand side of the road;
telephone code — +678;
close relations with Australia, Cook Islands, Marshall Islands, New Zealand, Niue, Papua New Guinea;
difficult relations with Burma, Egypt, Iran, Libya, Somalia, Sudan, Syria.
Tourism accounts for 20% of Vanuatu’s GDP. In addition to tourism, the country is developing its agriculture and animal husbandry sectors.
For the past 10 years, Vanuatu has been ranked among the happiest places on the planet. There are no sources of pollution in the country, and therefore the water and air remain clean. Additionally, the crime rate in Vanuatu is low.
State structure. The Republic of Vanuatu is a parliamentary democracy with elections every four years. The Parliament of Vanuatu is unicameral and comprises 52 members. The leader of the main party in Parliament is selected as the prime minister and heads the Government.
The head of state, the president, is elected every five years by the Parliament and the presidents of the six provincial governments.
Languages. Vanuatu has three official languages: English, French, and Bislama — an English-based creole. The latter helps citizens who have studied English or French since childhood to communicate through a common language.
Bislama is spoken by 200,000 local citizens. The name of the local currency, vatu, means "stone" in Bislama.
Ethnicity of residents. The vast majority of the population, 98,5%, is made up of Melanesians, with Europeans, Asians, and Pacific Islanders making up the remaining 1,5%. Most of the locals live in the countryside.
95% of Vanuatu’s residents are Christians. The remaining 5% believe in the Cargo cult that originated on the islands during the Second World War.
Sport. Rugby and cricket are popular in Vanuatu.
Climate. Vanuatu has a tropical climate. For nine months a year, the weather is warm and humid, and for the other three to four months the weather is colder and drier. The average daily temperature is +20…32°C.
Volcanoes. There are nine active volcanoes in Vanuatu. The active volcano Yasur on Tanna Island is the most accessible for tourists. It is located 361 metres above sea level, and its crater is 400 metres in diameter. Yasur last erupted in 2008.
Ecology. Vanuatu is part of the Australian ecozone, which also includes New Caledonia, the Solomon Islands, Australia, New Guinea, and New Zealand.
Vanuatu does not have any large mammals, venomous snakes, or spiders. There are 19 species of reptiles, 11 species of bats, and 61 species of birds on the islands. The region is rich in marine life, with the coastal areas being home to 4,000 species of sea molluscs.
Vanuatu’s attractions. Vanuatu is home to the world’s only underwater post office, which is located near the capital. To send a letter, you need a special waterproof envelope.
The location of the SS President Coolidge, which sank in 1942 with over 5,000 troops onboard, is a favourite place for divers. Only two persons were killed in the accident, as the troops managed to swim ashore thanks to the captain, who attempted to run the ship aground and immediately ordered the troops to abandon ship. Divers today are drawn to the military trucks, jeeps, and cannons that sank with the ship.
Cost of living in Vanuatu
The cost of living in Vanuatu is higher than the global average. For example, a family of two spends $887 per month on food and travel, excluding housing rent. The average monthly salary in Vanuatu is around $900.
The average prices on groceries in shops are the following:
a bottle of water, 0.33 l — $1.8;
milk, 1 l — $2.15;
a loaf of fresh white bread, 0.5 kg — $2.50;
white rice, 1 kg — $4;
local cheese, 1 kg — $21;
eggs, a pack of 12 — $5.60;
chicken breast fillets boneless and skinless, 1kg — $19;
tomatoes, 1 kg — $5;
potatoes, 1 kg — $4.50;
oranges, 1 kg — $6;
bananas, 1 kg — $2;
apples, 1 кg — $5;
beef round, 1 kg — $19;
a bottle of wine — $13;
a packet of cigarettes — $9.20.
Prices in cafes and restaurants vary. A lunch for one person in an inexpensive restaurant costs about $12, while a three-course meal for two people in a mid-range restaurant costs $65. Lunch at McDonald’s or another fast food chain costs approximately $10 for one person.
Monthly rental costs in Vanuatu depend on the property size and location:
a 1-bedroom flat in the centre — $1,700;
a 1-bedroom flat outside the city centre — $1,300;
a 3-bedroom flat in the city centre — $2,300;
a 3-bedroom flat outside the city centre — $1,700.
Utilities cost $300—400 per month for a couple, depending on the size of the flat.
Other expenses. Two cinema tickets cost $30, two bus tickets cost $4, and a litre of petrol costs $1.90.
Key points about the Vanuatu passport by investment
The Vanuatu Citizenship by Investment Programme is renowned for its rapid processing time of 1—4 months, with no requirement to visit the country.
There are three main pathways to obtain citizenship: a non-refundable contribution of $130,000, the CNO Future Fund for $157,000, and an investment in government bonds starting at AUD 150,000. Each option has specific benefits, with the CNO Future Fund offering potential financial returns and the bond option pending the appointment of a Master Agent.
The CBI programme is accessible to investors over 18 with proof of sufficient funds and excludes individuals with serious criminal records. Additional family members can be included in the application for an extra fee.
The step-by-step process for obtaining Vanuatu citizenship involves preliminary checks, document submission, and approval by the Citizenship Commission.
Vanuatu citizenship offers numerous advantages, including visa-free travel to 100+ countries, attractive tax benefits with no taxes on worldwide income, and no residency requirements.
Immigrant Invest is a licensed agent for citizenship and residence by investment programs in the EU, the Caribbean, Asia, and the Middle East. Take advantage of our global 15-year expertise — schedule a meeting with our investment programs experts.
Practical Guide
Will you obtain Vanuatu citizenship?
- Master the residency process
- Get expert tips and documents
- Estimate costs accurately