Currency swings have significantly impacted the dollar equivalent of some investor-residency routes, with differences of up to $60,600. This is due to changes in exchange rates, particularly between the US dollar and the euro.
Impact on Investor-Residency Programs
The European Central Bank’s reference rate moved from $1.1721 per euro on January 2 to $1.1418 on July 21, resulting in a 2.6% decline. This decline has affected various investor-residency programs, including those in Portugal, Greece, and Italy.
For example, Portugal’s Golden Visa program, which requires a 500,000 euro investment in a qualifying non-real-estate fund, saw a difference of $15,150 between the January and July benchmarks. The program’s standard research threshold also produced the same $15,150 difference.
Similarly, Greece’s investor-residence legislation has three prominent property thresholds, with the 800,000 euro tier applying in certain areas. The exchange-rate effect varied sharply by location and property type, with a $24,240 budgeting swing at the 800,000 euro level.
Italy’s official Investor Visa portal lists four qualifying commitments, including a 250,000 euro investment in an innovative startup and a 2 million euro philanthropic donation. The startup route is the least expensive, with its dollar equivalent differing by $7,575 between the two benchmarks.
The United Arab Emirates’ Federal Authority for Identity, Citizenship, Customs and Port Security lists a minimum of 2 million dirhams for Golden Residency investors in public investments or real estate. However, the dirham’s peg to the US dollar has largely removed the exchange-rate swing seen in euro-denominated programs.
Original reporting: KEYT (Ventura/Santa Barbara) — read the source article.
