The program has been open since late March 2021.
It’s a permanent residency program designed to entice high net worth investors into eventual citizenship.
Titled MPRP (Malta Permanent Residency Program) – this new program isn’t an upgrade. It’s designed to replace the older MVRP (Malta Residency Visa Program).
But while under a different name, the regulations surrounding it haven’t changed too much. The same applies to the program’s management, which is a carryover from the MVRP.
However, the required minimum investments have been increased, making it harder to access Malta.
Outline of the Requirements
First, Malta has decided to eliminate the minimum investment caps on the bond-investment program (which was at EUR 250,000).
As a result, the requirements on its non-recoverable government contributions program have increased.
Investors must now provide at least EUR 300,000 (for purchases in South of Malta), and EUR 350,000 for the rest of the archipelago. Also, investments must be kept for 5 years minimum.
Changes were not made to the rental price minimum of the program.
Malta’s government plans to use the real estate program to make up for the reduced caps on the bond-investment program. This will reflect on the requirements of Malta’s non-recoverable contributions program.
Extra Contributions Required Upon Investment.
As leasing property, applicants will need to contribute a minimum of EUR 58,000. Alternatively, those buying property must contribute a minimum of EUR 28,000.
Whether an applicant chooses to buy or lease, they must pay a EUR 40,000 administrative fee. A ¼ of that should be paid prior to receiving an official approval. Following that is an extra EUR 2000 in donations (per applicant).
Those funds must be given to a local and registered at the Commissioner for Voluntary Organizations (approval by other local official agencies is also acceptable).
The organizations must be philanthropic institution belonging to the private sector. They should be operating in scientific, sport, cultural, artistic, or animal welfare industries.
This branch of the program requires applicants to control assets that are EUR 500,000 in value (minimum). Of those assets, a minimum of EUR 150,000 should be held as securities investments.
How Was the New Program Developed?
According to Charles Mizzi (the program’s main executive), the MPRP is a new program that tries to solve the previous program’s issues.
Its goals are based on conclusions that the Maltese government has derived from the program’s effectiveness.
The MPRP offers new propositions that’ll allow more value for applicants, while benefiting Malta’s economy as a whole.
In fact, it’s expected that the program will be as successful as the previous – which can be seen in the opinions of many assisting law firms.
For example, Frendo Advisory, a law firm whose services specialize in helping MPRP applicants welcomes the new program’s launch. They see that the changes were positive, especially those related to the changed investment requirements of the government bond programs.
Over all, considering the island’s popularity among investors, it’s expected that the program will see amazing results, even in light of its high entry caps!