If you’re looking to invest in Portugal and gain residency status, you can apply for the Residence Permit for Investment Activity (ARI) that is known as the “Golden Visa Portugal.” This visa is one of the most popular ways to obtain residency and, eventually, citizenship in Portugal.
The program is designed for citizens from non-EU countries and it offers a variety of investment options. Its goal is to attract foreign investments into the Portuguese economy.
Changes to the Portuguese Golden Visa Program in 2023
In recent years, the Golden Visa has seen several changes. On February 16, 2023, the Government of Portugal announced its decision to end the Golden Visa program. However, shortly after, the Portuguese Parliament approved changes to the program, and despite initial plans to scrap it altogether, the Golden Visa will continue to exist.
Starting in October 2023, investing in residential or commercial real estate for the Golden Visa is no longer an option, but there are still several other routes available.
Benefits of the Golden Visa Portugal
The Golden Visa allows you and your family to live, work, and study in Portugal. As a resident through the Golden Visa program, you’ll have access to at least the following without needing any special permissions: education and vocational training; healthcare; social security benefits; and official recognition of your educational and professional qualifications.
Visa-Free Travel in the Schengen Area
You can freely enter and move around the Schengen Area, which includes 27 European countries.
Residency Status for the Whole Family
Family members of the investor receive a resident card that can be renewed, which expires at the same time as the primary applicant’s residency permit.
Freedom to Live and/or Work in Portugal While Keeping Residency in Another Country
There’s no requirement for the investor and their family members to live permanently in Portugal. To maintain and renew your residency, you only need to spend 7 days in the country each year. Most other residency visas require you to be in Portugal for a larger part of the year (6-8 months).
Pathway to Citizenship and a Portuguese Passport in Just 5 Years
The Portuguese passport has climbed the ranks to become one of the most valuable in the world, landing in the top five. As a Portuguese citizen, you can travel visa-free to 188 countries, including the USA, UK, Japan, Hong Kong, and New Zealand.
There are no language requirements at the stage of applying for a residence permit. However, if you want to apply for permanent residency or citizenship after five years, you’ll need to meet a language requirement of just A2 level Portuguese.
Investment Options for the Golden Visa Portugal
The Golden Visa in Portugal offers various investment options suitable for any investor:
- Job Creation
- Investment in Business
- Investment in Funds
- Non-Refundable Contributions
Option 1: Create 10 Jobs in Portugal
- Minimum investment amount: not defined. You need to create a minimum of 10 new full-time jobs in a Portuguese business owned by you. Alternatively, you can create at least 8 new full-time jobs in a company located in a low-density area of Portugal.
Low-density areas are those with a population of fewer than 100 people per square kilometer. Alternatively, the GDP per capita is less than 75% of the national average in these areas (for example, regions like Alentejo, Comporta, Aljezur, Valença, and Tavira). The autonomous island of Madeira or the Azores do not qualify as low-density areas.
Option 2: Register a Company + Create 5 Jobs
- Minimum investment amount: from €500,000 This involves registering a commercial company based in Portugal while creating five permanent jobs. Alternatively, you can increase the share capital of an existing company in Portugal and create five permanent jobs or maintain 10 permanent jobs for at least three years.
Option 3: Invest in Venture Capital Funds
- Minimum investment amount: from €500,000 You can make capital transfers of €500,000 or more to acquire shares in venture capital funds or investment funds, as long as these funds are not related to real estate. If you are to qualify for a Golden Visa, at least 60% of the fund’s investment value must be in commercial companies based in Portugal.
Option 4: Fund Research
- Minimum investment amount: from €500,000 (one-time non-refundable contribution). Invest in research activities conducted by public or private research institutions.
Option 5: Support Cultural Heritage
- Minimum investment amount: from €250,000 (one-time non-refundable contribution). Invest in preserving national heritage, artistic production, arts, and culture through local and central government bodies, state funds, private funds of public interest, local associations, and community cultural associations.
Residency and Citizenship in Portugal through the Golden Visa
Initially, investors receive a temporary residency permit in Portugal. This temporary residency (VNH) is a document allowing foreign nationals to stay in the country for a set period.
The Golden Visa grants a residency permit valid for 2 years, which can be renewed. It also leads to obtaining citizenship and a Portuguese passport.
After 5 years, holders of a temporary residency permit can apply for permanent residency (PR) or Portuguese citizenship. The PR is valid for five years and can be renewed indefinitely.
If you choose to pursue Portuguese citizenship after 5 years, you’ll need to demonstrate your knowledge of the Portuguese language.
The Golden Visa program requires a minimum stay in Portugal. During the first 2-year period, you need to spend at least 14 days in Portugal. For the next three years, you’ll need to spend 21 days in total.
So, to obtain citizenship in 5 years, you only need to stay in the country for 35 days. Portugal allows dual citizenship, so you won’t have to give up your original citizenship.
Once you obtain PR or citizenship in Portugal, you no longer need to maintain your investments under the Golden Visa program.
Family Members of the Investor
The Golden Visa Portugal allows investors to obtain residency and relocate to Portugal with their family. Family members receive a resident card that can be renewed, expiring at the same time as the primary applicant’s residency permit.
The following family members can be included in the application:
- Spouse or legal partner
- Minor children under 18
- Children up to 26 years old, if they are unmarried and enrolled in full-time education
- Parents of either spouse, if they are over 66 years old and financially dependent
- Minor siblings who are dependents and under the guardianship of the Golden Visa holder.
To conclude, even though investing into real estate will not make you qualified for a Golden Visa, the program has not been fully closed. It has been amended, and well-to-do foreigners can still acquire legal residence in Portugal in a fast manner.