Since the introduction of the golden visa regime in Greece, a significant number of international investors have embraced the option of investing in Greece in return for the granting of a residence permit. This in turn provides them with access to other EU countries as well. In an effort to expand the spectrum of investors taking advantage of said regime, the Greek Government introduced a new law that allows for opportunities for investments in Greece which are linked with the right for a residence permit. In particular, Article 42 of the new Law 4605/2019, (published on 1 April 2019) has introduced some important additional options to the existing legal framework for granting a residence permit through investments in Greece. According to the new Law’s introductory notes, its purpose is the improvement of the current legislative framework on residence permits by taking into consideration the needs of the Greek economy, the interest shown by foreign investors in Greece and the relevant international practice.
Until now, the applicable legislation provides that if a non-EU legal entity begins an investment in Greece which is expected to have a positive outcome on national development and the economy, ten (10) third country citizens are eligible to be granted a residence permit for the implementation and operation of the specific investment plan. The new law states that in addition these individuals, up to three (3) more non-EU citizens with the capacity of a shareholder or executive of the investing legal entity may apply and be granted a residence permit in Greece.
However, the most important element of the new Law 4605/2019 is the introduction of new categories of investmenst which provide the right to non-EU citizens investing in Greece (the “Investors”) to be eligible for a Greek residence permit (the “Residence Permit for Investors”). The new categories of investments are the following:
Law 4605/2019 provides that the realisation and holding of any of the above-mentioned investments must be certified by the competent person provided for each category of investment in the said law.
For specific types of investments (under c, f, g and h above), the opening of an exclusive account in a credit institution established in Greece is required and the disbursement of amounts from this account is subject to restrictions.
In the case of a Greek legal entity proceeding to any investment under (a) to (f) above, and its shareholder is a non-EU citizen, such person may lawfully request his entry and residence in Greece, provided that such shareholder holds the total (100%) of the company’s shares. In case, that the investment is performed by a non-EU legal entity, the entry and residence in Greece of up to non-EU citizens who are shareholders or executives of the said entity is permitted, depending on the amount of the investment.
The competent authority for the issuance and renewal of the residence permits granted to non-EU citizens based on the grounds referred to herein, is the Department of Immigration Policy of the respective Ministry.The initial duration of the residence permit granted for the aforementioned investments is five years and it may be renewed for another five years each time provided that the holding of the investment is certified and the remaining conditions for the granting of such residence permit continue to apply. The Residence Permits for Investors do not establish any right to work. The Investor acquiring a residence permit may be accompanied by his family members who are granted individual residence permits of equal duration with the Investor’s residence permit.
The above provisions in relation to the new options for granting residence permits to foreign investors in Greece will enter into force from 1 July 2019.
Vasila Zaverda and Maria Delagrammatika, former associates in our Athens office, also contributed to this article.
