European Court Backs Golden Passport Program: Malta’s Citizenship-by-Investment Upheld

The European Union’s “Golden Passport” program has recently received legal backing from the European Court of Justice, which ruled that there is no violation of EU law when member states grant citizenship to wealthy investors in exchange for financial contributions. This decision primarily concerned Malta’s citizenship-by-investment program, which allows individuals to obtain Maltese—and hence EU—citizenship by making significant investments in the country, such as a donation of at least 600,000 euros and purchasing property.

The ruling came after the European Commission had raised concerns that such programs could pose risks related to money laundering and security threats. Despite these concerns, the court found that each member state has the sovereignty to determine its own criteria for granting citizenship, as long as there are no violations of EU law. The Commission’s claim that EU citizenship requires “genuine links” between the applicant and the country was not supported by sufficient evidence.

Programs like Malta’s “Golden Passport” have been implemented by several European countries, including Portugal, Ireland, and Greece, largely in an effort to attract foreign investment following the European debt crisis. However, these programs have faced criticism for possibly compromising EU security by offering citizenship to individuals without stringent checks. This court decision may have broader implications for similar programs across the EU, impacting their future regulation and the way member states offer citizenship or residency rights through investments​(المركز السويدي للمعلومات – SCI)​(العرب تايمز).