Portugal Golden Visa's resists vote in Parliament

Portugal's parliament has rejected proposals to end the country's Golden Visa program. The Communist Party (CP) had inserted the proposals into a debate on amendments to the 2023 State Budget, but they failed to gain support. Another proposal to evaluate the program's impact also did not receive support. The Golden Visa program allows investors to obtain residency in Portugal in exchange for investment in the country. It is one of only two residency programs with no significant minimum annual stay requirement, with investors required to be present in Portugal for an average of seven days per year.

The CP had argued that the program had not achieved its stated goals of attracting investment and creating jobs, and that most of the investment had gone towards real estate. The party also claimed that the program had contributed to real estate speculation and difficulties in the housing rental market. However, the government argued that the program had not yet been fully assessed and that the proposal was therefore premature.

The Golden Visa program has been controversial, with the European Commission recommending in March that member states should immediately repeal any existing investor citizenship schemes and put strong checks in place to address the risks posed by investor residence schemes. However, some have argued that the program could be amended to achieve its stated goals.

Hakan Kodal, Chairman of Optylon Krea Group, stated that "we are very pleased with this decision. The Golden Visa has been a key support for the Portuguese economy after the end of the Troika, and ending the program would be counterproductive. Portugal remains a highly attractive country for investors with immense potential, and we are thrilled to be able to continue our work in a country with so much to offer."

Portugal has issued a total of 11,263 Golden Visas to main applicants over the past 10 years. The program has been popular among investors, who are attracted by the relatively low requirements for residency and the potential to apply for citizenship after five years. Despite the rejection of the proposals to end the program, it remains uncertain whether it will continue in its current form.