Under these programs, individuals who invest according to government-set conditions can obtain a residence permit in a relatively short time, followed by citizenship after a certain period.
Portugal and Spain are two countries in Europe with significant investment citizenship and residence programs. In this article, we will briefly introduce these two countries' programs and make a comparison. If you are ready, let’s delve deeper into Western Europe's blue waters!
Portugal Citizenship/Residency Through Investment Options:
Portugal Golden Visa Program: Best Plan B Route to Obtain EU Citizenship Through Investment
Launched in October 2012, the Portuguese Citizenship Investment Program, also known as the Portugal Golden Visa, was initiated by the Portuguese government to attract foreign investment in the wake of the 2008 financial crisis. Over the past decade, the program has successfully raised nearly €7.5 billion, underscoring its significant impact and success.
In October 2023, the Portugal Golden Visa Program underwent notable modifications. These changes, which do not affect already submitted applications, primarily focus on the types of qualifying investments. Real estate purchases and investments in real estate-related funds are no longer eligible. However, other investment categories remain available, including venture capital funds, scientific research, cultural heritage support, and business creation.
By applying to this program and making investments as specified by the Portuguese government, you can obtain a residence permit in Portugal. After holding the residence permit for five years, you become eligible to apply for Portuguese citizenship. The program requires a minimum stay of just seven days per year in Portugal, offering great flexibility.
The Portugal Golden Visa Program also grants you visa-free access to the Schengen states. Portugal itself is a safe, secure, and affordable country known for its high quality of life, robust infrastructure, excellent climate, and superior health and education systems.
Portugal D7 Visa
In 2007, the Portuguese government introduced the D7 Visa, a new category designed for individuals with passive income. Also known as the Portugal Retirement Visa or Passive Income Visa, the D7 Visa allows non-EU, non-EEA, or Swiss nationals with a sufficiently high, recurrent passive income to apply for residency in Portugal.
Eligible income sources include financial assets, real estate, intellectual property, pensions, and transferable equity, making it an attractive option for those seeking a comfortable lifestyle in Portugal.
D7 visa holders are allowed to obtain a residence permit in Portugal for one year. After that, residency permit can be renewed. After five years of legal residency, D7 visa holder are able to apply for permanent residency.
To qualify for a D7 visa, applicants must have a clean criminal record, provide proof of a residence address in Portugal, and be able to spend at least 16 months in the country during the first two years.
Useful Links
• Reasons to visit Portugal
• Jobs in Portugal
• Portuguese language schools in Portugal
Spain Citizenship by Investment
Spain Golden Visa
Spain joined the EU in 1985 and became a member of the Schengen Area in 1995. The nation is a desirable place to relocate because of its growing economy and excellent standards of life. Spain is becoming a very attractive investment destination for families and corporations.
The Spain Citizenship by Investment Program is an excellent choice, particularly for non-EU citizens who wish to pursue their professional or personal aspirations in Europe. It permits living, working, and studying in Spain. It could also result in citizenship in the end and permanent residency.
You can apply for Spanish permanent residency after five years of temporary stay. After ten years of permanent residence, you can apply through the naturalization procedure to become a citizen, given that you meet the certain program requirements.
The Golden Visa Program for Spain offers a number of investment choices. You have the option of investing €1 million in Spanish company shares, €2 million in Spanish government bonds, or €500,000 in real estate.
In addition to meeting the financial requirements, you must be at least eighteen years old, have no criminal records, and have either private or public health insurance.
Useful Links
• Important things to know before moving to Spain
• Work in Spain
• Best Spanish language schools in Spain
• Is it better to buy or rent property in Spain
A Comparison
There are a few key distinctions between the Golden Visas for Portugal and Spain. While the Spain Golden Visa permits visa-free travel solely inside EU Schengen nations, the Portugal Golden Visa permits visa-free travel to 188 countries, including EU and Schengen states.
You must live in Portugal with five years of residency, whereas Spain requires ten years in order to be eligible for citizenship. There are also differences in residency requirements: Portugal requires residency for an average of seven days year, whereas Spain does not. Family members are included in both programs, with applications being submitted simultaneously in Portugal and Spain.
You are only subject to taxes if you reside in one of the two countries for more than 183 days annually. While Spain offers a large selection of international schools, Portugal offers access to public services, including education. Portugal offers pensioners a tax framework that is beneficial for non-habitual residents, whereas Spain offers a range of pension plans.
