The Latvian Government has submitted a draft law, that eliminates so called “Golden visas” for investments along with big changes to the immigration law, on entry and exit of foreigners.
According to the statement by Ministry of Interior, the norms that provided for granting temporary residence permits to foreigners who invested in the Latvian economy by purchasing real estate or non-interest-bearing state securities or by investing in the subordinated liabilities of a credit institution will be eliminated. The draft law still needs to be approved by the Saeima (parliament) to enter into force.
The Latvia Golden visa program grants residence permits (TUA) to foreigners who invested in the latvian economy for 250,000 euro in real estate, bonds, bank deposit and company shares.
According to the data from Citizenship and Migration Affairs Board (PMLP), the investments of non-residents related to the receipt of TUA from July 1, 2010 to December 31, 2022 amounted to 1.61 billion. euro. From July 1, 2010 to December 31, 2022, as part of the investment program, PMLP has received applications for TUA from 20,632 persons, including 8,197 investors and 12,435 of their family members. During this period, 19,610 TUAs were issued. As of July 1, 2010, 251 investors were denied the issuance of TUAs, while 3,110 issued TUAs were canceled.
Applicants are mainly from regions with an unstable geopolitical situation and increased risks for attracting capital and political uncertainty. Over 85% of residence permits granted were to Russians.
Golden Visa Investments from 2010 to end of 2022, amounted to 1.61 billion euro and 19,000+ Golden visas granted
PMLP Migration Office, Latvia
The volume of which has fallen significantly since 2014, the ministry said in a press statement. After the Russian invasion of Ukraine in 2022, the amendments to the Immigration Law have completely stopped the opportunities for citizens of Russia and Belarus to apply for a TUA based on the investments made in the Latvian economy.
In 2022, the state security service conducted 1,278 person checks, preparing refusals for 152 persons for the Directorate of Citizenship and Migration Affairs and 18 persons were prohibited from entry.
Latest immigration data, requested from PMLP office show, as of Jul 2023, there are 2,154 property investors and their 2,158 family members, hold valid TUA residence permits for investing.
1.Property – 2,154
2. Credit Institution – 36
3. Companies – 118
4. State securities – 29
During first half 2023, only 17 foreigners invested in Latvia, 5 investors received TUA’s for real estate investment. 11 investors made a capital transfer to a company and only one in credit institution..
Immigration Changes
The Cabinet of Ministers approved amendments to the Immigration Law to strengthen the national security. The Changes to the Immigration Law will affect the rules on entry and residence of foreigners such as requirement of state language test and only type of permanent residence permit will be issued in Latvia.
The amendments to the Immigration Law stipulate that Latvian citizens and non-citizens who wish to become a citizen of another country and continue to reside in Latvia will now have to pass a state language test and prove regular and sufficient financial resources. The rule affect more than 22,000 foreigners living in Latvia.
Latvian Language Test
The state language certificate is required for employment requirements and acquisition of a permanent residence permit. The knowledge of the official language has two parts – oral and written. Written part of the person to be completed by the reading test, write, test and listening test. Oral part of a person fulfils special runātprasmes inspection tasks.
Exception for language test is possible, those..
- who has acquired the principal, secondary or higher education in the accredited programmes in Latvian (to be confirmed, for example, by a diploma, certificate, statement from the educational institution);
- who has acquired the accredited education programme for minorities and has passed the centralized examination in Latvian for Grade 9 or the centralized examination in Latvian for Grade 12, which is confirmed by a principal education or general secondary education certificate;
- who has successfully passed in the European school the examination of the Bachelor’s degree in Latvian, which is approved by the Ministry of Education and Science;
- who has functional limitations related to health status or diagnosis referred to in Annex 2 to the Cabinet Regulation No. 157 (a statement of the doctor – rehabilitator is required);
- who has not attained the age of 15 years;
- who has attained the age of 75 years.
