The Council of Ministers of the Republic if Cyprus, by its decision of 13th September 2016, revised the existing framework providing for the Naturalization of Investors in Cyprus by Exception, on the basis of subsection (2) of section 111A of the Civil Registry Laws, as has been amended, which was applying since 19th March 2014.

Under the scheme, applicants are eligible to apply for Cypriot citizenship if they satisfy one of the following criteria personally or through company/ companies in which they participate as a shareholder (or beneficial owner).

Applicants must conclude the necessary investments during the three years preceding the date of the application and must retain them for a period of at least three years after citizenship is granted.

The applicant must have made an investment of at least €2 million for the purchase or construction of buildings, or for the construction of other land development projects (residential or commercial developments, developments in the tourism sector or other infrastructure projects). The acquisition of land may qualify provided that is accompanied by a development plan. Investment in land situated in a zero-zone development area is excluded.

If the entire investment is made in housing properties, the total investment amount is capped at €2 million as long as one of them is at least €500,000 and is retained by the investor for life. Cyprus’s Citizenship by Investment Scheme enables non-EU citizens to obtain Cypriot citizenship on a “fast-track” basis. Successful applicants are entitled to all the benefits enjoyed by European Union citizens, such as the freedom to live, work and study in all Member States as well as visa-free entrance to more than 150 countries around the world.

The applicant must have made an investment of at least €2 million in the purchase, creation or participation in businesses or companies, which are based and operating in the Republic. These businesses or companies must have a tangible presence in Cyprus and employ at least five Cypriot and/or European Union citizens who have been legally residing in Cyprus for a continuous period of at least 5 years. The minimum number of employees increases where more than one applicant invests in the same investment.

The applicant may do a combination of the above amounting to at least €2 million. Under this criterion,the applicant may also purchase government bonds, directly from the Ministry of Finance, with the investment in bonds capped at €500,000.

In addition to the financial conditions set out above, an applicant for Cyprus citizenship must also satisfy the following criteria, both at the time of application and at any point after citizenship is granted. –They must have no criminal record. –His/her name must not be included in any list of persons whose assets are frozen within the European Union. –They must have a permanent, privatelyowned residence in Cyprus with a value of at least €500,000 (exclusive of VAT). It is noted that members of the same family (defined as including relatives to the second degree), which apply separately as investors, can collectively acquire a residence, provided that the total value of this property covers the amount of €500,000 per applicant. Where the purchase price of the residential property exceeds the amount of €500,000 (excluding VAT), the excess amount can be included in the whole investment –Residence Permit – They must be holders of a permanent residence permit in Cyprus prior to obtaining the Cyprus citizenship. For those who have not acquired such permit, the application can be submitted simultaneously with the citizenship application with no further investment requirements.

Eligibility of Dependents

• The spouse and children of the applicant under the age of 18 are considered dependants of the applicant and as a result they can also be naturalized as Cypriots. The spouse’ application can be submitted along with the investor’s application, so that both spouses will be able to acquire the Cypriot citizenship simultaneously with the dependents’ applications to follow soon after the main applicant’s application procedure is successfully completed.

• Dependants of the applicant are also considered children above the age of 18 and up to the age of 28 years old who study their first Bachelor Degree and/or first Master’s Degree. Individuals who are studying for the acquisition of a professional qualification (e.g., chartered accountants or barrister) or individuals who are studying for the acquisition of a second, third, etc. diploma or degree (either undergraduate or postgraduate) are excluded.

• Also, children of the applicant over the age of 28 may be considered as dependants if they suffer from any permanent and/or major disability. –Parents of an individual applicant are also entitled to apply for citizenship, with no additional investment requirements, provided that they own a permanent residence in Cyprus of at least €500,000 (excluding VAT).