Cyprus Passport and citizenship, interview with our expert

In Mundo, we are experts in immigration and offer consultation on a daily basis on the best citizenship and residency programs available. From all the CBI industry, there are many different programs in different jurisdictions. Which one is best? That would depend on the particular situation of the applying individual, but at Mundo we have our favorite jurisdictions to recommend.

For Europe, we usually recommend Cyprus. A Cyprus Passport can bring exceptionally good benefits, granting full EU rights and allowing the individual to study, live, work, invest and conduct business in the EU. With a convenient tax regime and business-friendly environment, Cyprus is the first choice of many investors and businesspeople looking for a second citizenship. Thanks to the fast track program, you can get citizenship in as little as three months.

The Cypriot passport gives you full access to the Schengen space, most non-EU European states, including the UK, the Nordic states, Switzerland, all Latin America, Canada, Japan, South Korea, New Zealand, Indonesia, Singapore, and more. Moreover, Cyprus is currently negotiating a potential visa waiver with the US.

Due to the enquiries we have had about Cyprus, we decided to sit down with one of our experts and draft this interview with the most frequently asked questions about one of the best programs in Europe.

Contact us now and ask for a consultation about any of our services.

Why is Cyprus attracting so many international investors towards its citizenship program?

Cyprus is a beautiful island offering many advantages, such as warm climate, convenient geographical position, well-educated workforce, with a highly advantageous tax system and residency/citizenship via investment programs.

What are the main characteristics and differences between a residency and citizenship program in Cyprus?

The residency program provides a permanent residency in around 3 months: Cyprus will be joining the Schengen zone soon, and after that, all residents in Cyprus will be able to visit the 26 Schengen countries without a visa. The citizenship is different, as applicants will become full citizens of the European Union, having all the corresponding rights.

What benefits does the Cypriot CBI have?

A Cyprus Passport offers the right of free movement, freedom to work and study, and security within the social and legal system of the EU, along with visa-free travel to 174 jurisdictions.

Why choose Cyprus over Malta, or the Caribbean islands?

The Caribbean jurisdictions offer only a 90-day visa free travel to the Schengen zone while Cyprus citizens enjoy the full rights of EU citizens. Also, the biggest component of the Malta citizenship is the donation part, which starts at €650,000. People who are into real estate usually do not like donation-based programs, so they happily choose Cyprus instead of Malta.

How does the residency program work? Which are the eligibility criteria for participating? Which are the requirements for family and dependents to be added to the application?

Acquiring the residency permit is based on the purchase of a property with a minimum value of €300,000+VAT. It has to be a newly built real estate and must be kept throughout the whole residency period. Any under-18 child or dependent over-18 child can be included, and parents of the main applicant can ask for a family reunification.

How long does the citizenship process take? Do I need to live in Cyprus during the process of obtaining citizenship? How long is the process? Which are the requirements? Does it allow the dependents to be involved?

What do I need to know to apply?

The usual processing time is 6-9 months and there is no need to live in Cyprus during that period. Dependent parents can be included in the application with an additional investment in residential property.

What are the investment options for both the residency and citizenship programs?

The most popular way to get either residency or citizenship in Cyprus is an investment of residential property - €300,000 for residency and €2m for citizenship.

What are the investment options for the CBI program?

Clients can choose between the following options:

● Residential property investment of €2m

● Residential property investment of €500,000 + €2m investment into Cyprus companies employing 5 people

● Residential property investment of €500,000 + €2m investment into Cyprus alternative investment funds

● Residential property investment of €500,000 + €2m investment combination of the company or alternative fund investment.

How much does the CBI process take from the application moment till acquiring the passport?

Cypriot citizenship is usually granted in 8-9 months.

Can you appeal if you are rejected? Is it possible to get a total or partial refund?

Yes, there is an appeal process but has not been tried extensively… We recommend our clients to insist on an option on his purchase agreement to give back the property if the citizenship application is refused.

What is the payment process? At what stage do the applicant pay professional and government fees? When does he has to pay the government contributions and make the investment?

The professional fees are usually paid in advance, and the citizenship application must be accompanied by payment confirmations of the property investment and donation.

If a client chooses real estate, what are the options? What should he consider when picking a property?

As always clients should be careful to compare the sale price to the value of the property being offered. As we are not property developers, we always give impartial advice to our clients about the viability of the property project, expected value of the property or any aspects of the investment.

What about clients that elect the other path for the CBI? They can make AIF, or company investment. Are there any restrictions on what investment vehicles can they use, or they can pick whatever AIF, shipping, or company investment they want?

They investment should be mainly related to Cyprus, so it is not possible just to incorporate a Cyprus company and use it for non-Cyprus related business activities or investments.

Must the main applicant disclose his source of funds?

No full disclosure of personal wealth is needed at this moment.

Could you explain in more detail what is the due diligence required regarding funds disclosure? What documents should applicants submit?

Clients must prove the amount for the property investment and the donation arrived to Cyprus, and also that they have been paid the investment and donation through the Cyprus banking system.

What advantages does the Cypriot residency or citizenship have over similar programs?

Cyprus is currently the fastest solution to gain full EU citizenship.

What about holding family offices in Cyprus? Is a citizenship a useful way for families to base their businesses in Cyprus?

Due to the good business infrastructure, to English being spoken by nearly everyone, excellent weather and most importantly by the very advantageous personal and corporate income tax rates Cyprus is one of the best places to do business in Europe.

How can you help a citizen with banking and wealth management in Cyprus?

We can definitely help our clients to turn their ideas into business in Cyprus. The banks are all operating under strict KYC rules, so the clients must satisfy those rules based on international standards.

If you have more questions about the Cyprus program, don´t hesitate to contact us. Apply now and become citizen of the European Union.

Apply now