Portuguese Citizenship: Investments, Methods, and Timelines

Portuguese Citizenship: Methods of Acquisition and Timelines

Portugal has repeatedly ranked among the top five countries in various studies analyzing investment programs. The comparisons include the country's global reputation, level of economic development, investment conditions, program transparency, and other factors.

The program for obtaining a residence permit, and eventually citizenship, is particularly popular among wealthy elderly foreigners. The desire to spend the rest of one's life in a peaceful, highly developed, and Mediterranean resort country is quite understandable.

On the other hand, the cost of living here is still lower than in ambitious countries like Austria, the UK, and Germany. Analysts note that even Swiss retirees are inclined to become Portuguese citizens. Just one fact: elderly people without high demands can live comfortably in Portugal for $1,700 per month.

Portugal has long been a favorite destination for residents of CIS countries. The European standard of living and the unique atmosphere of the country attract many foreigners. Some come here to find work, while others apply for a residence permit under the state program. And some, having immersed themselves in the Portuguese atmosphere, dream of obtaining Portuguese citizenship. How can this be done, and what is required? In this article, we will examine several methods.

The investment program has been in operation since 2012, during which time about 8,000 applicants have obtained residence permits. The Portuguese economy has received over 4 billion euros.

Citizenship Prospects for Russians, Ukrainians, and Other Non-EU Nationals

Holding citizenship of an EU member state is not only prestigious but also highly convenient. Nationals of countries outside the eurozone, with a Portuguese passport, gain:

• The right to reside in any EU country for up to 90 days a year without additional documentation.
• The ability to study at top educational institutions with international standards of education.
• Access to medical care in modern clinics.
• The opportunity to run a business in a stable legal environment and keep savings in the most secure banks.
• The right to employment, benefits, and social assistance.

Portugal attracts foreign nationals with its climate, developed infrastructure, European living standards, and relatively low housing costs. A Portuguese passport allows Russian, Ukrainian, and other CIS nationals to fully benefit from European citizenship. More and more foreigners are coming to Portugal to stay permanently.

Ways to Obtain Portuguese Citizenship

Obtaining Portuguese citizenship is relatively straightforward. However, standard mechanisms (such as naturalization, marriage, etc.) do not account for the initial capabilities of applicants and are not universal.

To capitalize on the growing demand for Portuguese citizenship, the country launched a program in 2012 to attract foreign capital. Buying a passport directly is not possible. This is a phased process, beginning with the right to legally reside in Portugal. After 5 years, the holder of a "Golden Visa" can apply for a Portuguese passport. Some experts do not distinguish the investment route as a separate mechanism. However, financial investments in the country's economy become the basis for granting citizenship to the investor later on.

Portuguese Citizenship through the Golden Visa

For eight years, the "Golden Visa" program (residence permit for investment) has been in place. Anyone with sufficient funds and a clean criminal record can participate. However, you won't receive a passport immediately; you'll have to wait several years.

To participate in the state residence permit program, the applicant must choose one of the following investment options:

• Invest in one or more real estate properties for at least €500,000.
• Purchase a property requiring renovation for at least €350,000.
• Buy shares in various Portuguese funds for at least €500,000.
• Create a business in Portugal that provides 10 jobs for residents.
• Invest at least €1 million in Portuguese company assets.
• Invest €350,000 in research and development projects.
• Make a charitable donation (non-refundable) of €250,000 to organizations dedicated to preserving Portugal's architectural and historical monuments.

One of the most popular ways to obtain citizenship worldwide is through purchasing real estate. The number of real estate transactions in Portugal involving foreign nationals has significantly increased. Most investments are concentrated in the coastal regions of the country. To evenly distribute funds across all regions, the government has restricted investors from purchasing real estate in Lisbon and Porto since 2021.

The real estate option is the most popular. Firstly, the property can be sold after five years. Secondly, villas and apartments in tourist areas are always in high demand, making them ideal for rental income and generating a decent passive income.

The main applicant's family members can also participate in the program:

• Spouse
• Minor children
• Unmarried adult children without their income
• Dependent parents over 65

During the five years after receiving the residence permit card, the investor must:

• Comply with all program requirements, including maintaining assets and jobs created, etc.
• Spend at least 7 days per year in the country.
• Renew the residence permit on time.
• Abide by the laws and immigration rules of Portugal and other European countries.

A mandatory requirement is knowledge of the Portuguese language, which is confirmed by passing exams.

The Portuguese Investment Program's Unique Features

Since investing in properties located in major cities is more advantageous, there was an imbalance in regional investment. Lisbon and Porto became the primary investment markets, while less populated regions slowed in development without the influx of external funds. Here, unemployment and crime rates have risen.

To address the situation, the parliament passed legislative amendments in early 2020, prohibiting real estate purchases in designated cities. Although this decision takes effect in 2021, property prices in major cities have already increased.

To encourage investors to buy real estate in the region, there is now an option to obtain a residence permit by purchasing certain properties for as little as €280,000.

So, how can one ultimately obtain citizenship? The residence permit status is initially granted for one year, then twice for two years (1+2+2). After that, permanent residence must be obtained, and the holder must live in this status for at least one year before applying for citizenship. As a result, the path to citizenship takes six years. However, it is much cheaper than, for example, a passport through Malta's or Cyprus's program.

Citizenship through Naturalization

To do this, you must first obtain a residence permit and renew it annually. Naturally, there must be legal grounds for staying in the country, such as study or work. You must also spend at least 183 days a year in Portugal.

After six years, you can apply for citizenship. Keep in mind that it may not be possible to obtain a passport on the first try. You'll have to wait your turn, and the exact waiting time is unknown. You will also need to know Portuguese.

Portuguese Passport through Marriage

Many scammers offer to arrange a passport through a fake marriage. In practice, this is almost impossible. The couple must live together for at least three years, and knowledge of the Portuguese language is also required.

Conclusion

Portuguese immigration law does not provide for obtaining a passport directly through investment; however, the "Golden Visa" stage is grounds for applying for citizenship after five years. Any offers to buy a Portuguese passport are illegal. To avoid any unpleasant situations, it is advisable to seek assistance from professionals. The immigration center GARANT.in has many years of experience dealing with citizenship issues in EU countries and beyond. Our experienced staff will help you avoid risks and achieve positive results.