Obtaining a Golden Visa in Portugal
What is a Golden Visa?
The Golden Visa program, or Residence Permit for Investment Activity (ARI), is a residency-by-investment program designed for non-European citizens. Launched in 2012 in Portugal to revive the economy and real estate market, the program has since attracted numerous investors across different sectors (totaling over 5 billion euros), particularly in real estate, which has experienced exponential growth over the past decade.
What are the benefits of the Golden Visa?
Golden Visa holders receive a residence permit in Portugal, valid for them and their families. As Portugal is part of the European Union, a Portuguese residence permit allows its holder to travel freely within the Schengen area without needing an additional visa. After five years of residence, holders can apply for Portuguese citizenship, provided they meet the residency and language criteria.
What changes in recent years?
In 2020, the government amended the program to exclude real estate in high-demand areas, such as Porto, Lisbon, and the Portuguese coast, from the Golden Visa conditions. In 2023, the former Prime Minister made a more radical decision: to remove all real estate purchases from the conditions. One of the main reasons is to reduce pressure on the local real estate market, as Portuguese authorities found that the influx of foreign investments in real estate significantly increased prices, making housing less accessible for local residents. By redirecting the program, the government aims to encourage other forms of investment that more directly benefit the national economy.
New Conditions for Obtaining a Golden Visa
Since the 2023 reform, here are the main ways to obtain a Golden Visa in Portugal:
- Job Creation: Investing 500,000 euros in creating new businesses or expanding existing ones, provided it leads to the creation of at least five permanent jobs.
- Research and Development: Investing 500,000 euros in scientific or technological research.
- Arts and Culture: Investing 250,000 euros in the preservation or renovation of Portuguese cultural heritage, or in supporting the arts.
- Investment Fund: Investing 500,000 euros in venture capital funds or investment funds aimed at capitalizing Portuguese SMEs.
- Regional Development: Investing 400,000 euros in low-density population areas, thereby contributing to the development of these less favored regions.
In addition to the investment, one must:
- Have never been refused a visa in Europe.
- Have a clean criminal record in Portugal and their country of origin.
- Have health insurance.
How to Renew the Golden Visa?
To renew the visa, one must have spent at least 7 days in the first year and then 14 days per year in Portugal. These particularly short durations encourage foreigners who do not necessarily want to settle in the country to invest in Portugal (and thus obtain a Schengen visa). After 5 years of Golden Visa, one can apply for nationality or permanent residence.
Conclusion
The 2023 Golden Visa reform in Portugal marks a significant turning point, but the program remains an interesting opportunity for foreign investors. By focusing on investments that directly benefit the Portuguese economy and society, the program continues to offer an attractive pathway to residency and, potentially, European citizenship. Whether you are interested in business creation, supporting research, or preserving cultural heritage, Portugal offers numerous opportunities for those looking to invest in a prosperous future.
