The Republic of Cyprus has announced that it has formally started the process of joining the Schengen area.
The Cyprus Permanent Residence Permit which is granted to non-EU nationals investing in the Republic of Cyprus has been recently amended. The program has been revised in its current form on the 24th of March 2021.
The amended Residence Permit scheme continues to apply to the applicant, the spouse, the applicant’s unmarried and financially dependent children up to the age of 25 provided that they undertake their bachelor or master’s degree studies, as well as to the applicant’s parents and parents-in-law.
While the minimum investment amount of EUR 300.000 (plus VAT if applicable) remains unchanged, further investment options are now provided to applicants. Besides the option to invest in new residential properties, investors now have the option to invest in commercial properties, including offices, shops, hotels. The properties of this category could be either new or resale. Moreover, the applicant may choose to invest in the share capital of a Cyprus company having a physical presence and activities in Cyprus and employing at least five persons. Lastly, applicants may choose to invest in compartments of Cypriots UCITS (AIF, AIFLNP, RAIF).
The investment funds should have emanated from abroad, and the investment should be maintained or replaced by another investment of the same or greater value, in order to maintain the permit.
The applicant should prove a secure annual income (including salaries from employment, pensions, dividends, fixed deposits, rentals) of at least EUR 30.000, increased by EUR 5.000 for every dependent person (spouse and children) and by EUR 8.000 for every dependent parent or parent-in-law. This income should derive from abroad in case that the applicant invests in new residential units, while the income can be generated from sources within Cyprus in all other cases. Both the income of the applicant and the spouse can be taken into consideration.
The applicant and the spouse should provide a clean criminal record from the country of residence or from Cyprus in case they are residents of the Republic. The applicants should not be considered as a threat in any way to the public order or public security in Cyprus.
It is no longer required to have a pledged deposit in a Cyprus bank account.
Moreover, the applicants should confirm that they do not intend to undertake any sort of employment in Cyprus, besides holding the position of Director in the company in which they have chosen to invest as per the current policy. Also, the applicants can be shareholders in a company registered in Cyprus and receive the dividends of such company, or hold the position of Director in such company without receiving a salary.
In case that the applicant has chosen to invest in any other category besides the category of new residential properties, the applicant should provide relevant documentation as to the place of residence in Cyprus (e.g. sales agreement, rental agreement, or title deed).
The investment should be concluded before the submission of the application. The relevant documentation as to the settlement of the funds must be provided upon the submission of the application. In the case of investment in residential properties, the applicant needs to show that the minimum amount of EUR 200.000 (plus VAT if applicable) is paid to the developer, while in all other investment options the total minimum amount of EUR 300.000 (plus VAT if applicable) needs to be settled prior to the submission of the Residence Permit application.