In a strategic move to diversify its investment portfolio, Greece, under the leadership of Prime Minister Kyriakos Mitsotakis, announced plans to expand the Golden Visa Program to include a startup investment option. This announcement was made at the Thessaloniki International Fair in September 2024, marking a significant shift towards encouraging economic growth through entrepreneurship. The new option, detailed in Greece’s Draft Budgetary Plan for 2025 and submitted to the European Commission, allows foreign investors to gain residency by investing €250,000 in startups registered in Elevate Greece, the national startup registry.
The initiative is not merely about attracting capital but also about fostering innovation and job creation within Greece. To qualify for the golden visa, investors must limit their equity participation to no more than 33% of the startup’s capital or voting rights. Additionally, they must generate at least two new jobs within the first year of investment and sustain the increased workforce for at least five years.
Clarifying Misconceptions and Legislative Process
Widespread speculation about the potential elimination of real estate investment options from the Golden Visa Program was unfounded. According to the official budget document, options for the golden visa will include the real estate route alongside the new startup investment option. Varnavas emphasized that the Greek government acknowledges the significant economic contributions of real estate investments and is not planning to remove this avenue.
For the golden visa’s startup investment option to become law, it must pass through several legislative stages in the Greek Parliament, where the current government holds a majority. The process includes detailed committee reviews followed by debates and a final vote in the full parliamentary session. Varnavas expressed confidence in the bill’s passage and the government’s intention to implement the new option swiftly, possibly by year-end.
Investment Thresholds and Market Impact
Recent adjustments to the Golden Visa’s real estate investment thresholds were part of Greece’s strategy to manage market dynamics effectively. The September 2024 adjustments established an €800,000 minimum investment for prime locations like Attica and Thessaloniki, with a reduced threshold of €400,000 for other regions. These changes include innovative options for converting commercial properties into residential spaces and restoring listed buildings, each set at a €250,000 investment minimum.
These strategic changes aim to balance the influx of foreign investment with the nation’s economic and housing market stability. By diversifying the investment options available under the Golden Visa Program, Greece hopes to not only attract more productive investments but also mitigate the housing crisis exacerbated by the influx of real estate investments in prime locations.
A Global Perspective on Investment Visas
Greece’s pivot to include startup investments in its Golden Visa Program mirrors a global trend where countries are reevaluating and adapting their residency by investment schemes to support broader economic goals. This move aims to position Greece as a favorable destination for global entrepreneurs and investors seeking to contribute to and benefit from a growing economic ecosystem.
Countries like Portugal and Spain have also made significant revisions to their respective investment visa programs, often with a focus on addressing local economic and social issues, such as the housing crisis. These adjustments reflect a shift towards more sustainable investment practices prioritizing long-term economic health over short-term gains.
The Role of Industry Experts
For firms like Apex Capital Partners, these developments offer new avenues for guiding investors through complex investment landscapes. Specializing in citizenship by investment solutions, Apex Capital Partners can provide invaluable assistance in navigating the updated regulations and seizing strategic investment opportunities.
As Greece and other nations refine their investment visa programs, expert advisories will play a pivotal role in connecting investors with viable and beneficial options, fostering global mobility and economic synergy.
