Cyprus has become increasingly popular among expats seeking a comfortable lifestyle in a warm climate in Europe. The country's favorable tax regime, low cost of living, and excellent healthcare facilities make it an attractive option for those seeking to obtain permanent residency. Here's what you need to know about permanent residency in Cyprus.

What is Cyprus Permanent Residency?

Governments around the world have implemented permanent residence programs to attract foreign investment and boost their economies. These programs generally require a financial commitment in exchange for legal residence in the country.

Many countries offer permanent residence to foreign investors through investment programs, each with its own rules and requirements. To obtain permanent residency, individuals typically need to invest in the country's economy, with investment options varying and minimum investment requirements ranging from a few hundred thousand dollars to millions.

Permanent Residency in Cyprus

One popular program is the Cyprus Permanent Residence Program, which allows non-EU citizens and their dependents to enter and reside in Cyprus without restrictions or the need for additional immigration processes. This program grants permanent residency status, also known as a Cyprus immigration permit or visa for unlimited residency, which does not require renewal and remains valid permanently.

What needs to do?

In 2023, there will be four legal ways in which a foreigner can acquire Cypriot citizenship. These are:

1. Naturalization by years of residence: where non-European Union nationals can obtain Cypriot citizenship through long-term residency in the country.
2. Marry a Cypriot citizen: where a foreign national may be eligible for citizenship after a certain period of time.
3. Investment program: it involves a property purchase, investment in a local business, or a combination of both. By fulfilling the investment requirements, individuals can become eligible for Cyprus citizenship through this program.

Below we will consider each of these ways.

Naturalization

To acquire Cypriot citizenship through naturalization, an individual must reside in the country for a specific number of years. However, the eligibility criteria and requirements for naturalization can differ depending on various factors, including the applicant's country of origin and the purpose of their residency in Cyprus.

In general, meeting the following conditions is necessary to obtain Cypriot citizenship through naturalization:

• Legal residency in Cyprus for a minimum of seven years before submitting the application
• No criminal record and good character
• Sufficient income to support oneself and dependents without relying on public assistance
• Adequate knowledge of the Greek language
• Apart from these requirements, applicants may need to provide additional documentation to support their eligibility, such as proof of identity, residency, and financial stability.

Marriage to a Cypriot

If someone marries a Cypriot citizen, it is possible to use this as a pathway to obtain Cyprus citizenship. However, there are specific eligibility criteria and requirements that must be fulfilled, which can differ based on individual circumstances, such as country of origin and length of residency in Cyprus.

To obtain a Cyprus passport through marriage, the following conditions must generally be met:

• Residency in Cyprus for at least three years prior to submitting the application
• A valid marriage certificate to a Cypriot citizen
• Good character and no criminal record
• Adequate knowledge of the Greek language
• Additionally, applicants may be required to provide additional documentation to support their eligibility, such as proof of identity, residency, and financial stability.

Investment program

To qualify for the Cyprus program, individuals need to invest at least €300,000 in Cypriot real estate, shares in a company in Cyprus, or units of a Cypriot investment fund.

While the Cyprus investor program does not directly grant the right to work in Cyprus, individuals can acquire a work-related visa or work as a director through a Cypriot residence permit obtained by buying shares in a Cypriot company.

Acquiring Permanent Residency in Cyprus through investment

Obtaining permanent residency in Cyprus through investment is a straightforward and efficient process. Once the investment has been made, and all necessary documents and biometric data have been submitted to the Civil Registry and Migration Department (CRMD), the permit can be approved in just a few months.

To be eligible for the Cyprus Investor Immigration Program, you have three investment options, all requiring a minimum investment amount of €300,000:

• Purchase eligible real estate, which can be a residential or commercial property
• Purchase shares of a Cypriot company that has a physical presence in Cyprus and employs at least five people
• Purchase units of Cyprus-registered investment funds.

In addition to the capital investment, all applicants must provide proof of a secured annual income of at least €30,000, which can include wages, pensions, dividend income from shares, or rental income. If choosing to purchase a house or apartment, the income must derive from abroad, while for all other investment options, such as commercial real estate and shares in a company, the annual income can include earnings from rent and resident companies in Cyprus.

Include family relatives

The main applicant can include a spouse in the Cyprus investor immigration application through Cyprus residence by marriage, and dependents, such as children under 18, can also be included with an additional admin fee.

A student child between 18 and 25 years of age that is financially dependent on their parents can obtain an immigration permit, provided that they're dependent on the investor, unmarried, and a higher education student abroad on the date of submission of the application.

Parents and parents-in-law can also be granted an immigration permit, provided that they're dependent on the investor, and the investor can present an additional annual income of €8,000 for each dependent.

Once the investment is made, you can submit an application for permanent residency to the Cypriot immigration authority, including proof of the investment, evidence that you meet the other requirements for the program, such as having sufficient annual income to support yourself, and a clean criminal record certificate from your home country or place of residence.

Conditions and category for obtaining Permanent Residency in Cyprus through investment

Conditions

To be granted permanent residency in Cyprus through its investment program, applicants must submit the following documents:

• A copy of a valid passport
• Curriculum Vitae
• An original criminal record certificate from all countries of residence with an official and certified translation
• A signed statement indicating that the applicant is not seeking employment in Cyprus, except for employment as a Director in a Company invested in
• Title of ownership or contract of sale for the property, or proof of shares or units purchased in Cyprus
• Bank swift confirmation and receipts of payment for the purchase price to the value of €300,000
• Documents to prove a secured annual income from abroad of €30,000 (and the additional required annual income if applying for children between 18 and 25 years of age or parents or parents-in-law)
• Income from commercial real estate in Cyprus or shares of a Cypriot company can contribute to or make up the required annual income.

If the application includes a spouse and children under 18, additional documents are required, such as a copy of a valid passport for each applicant and duly certified marriage and birth certificates.

For property purchases, the main applicant must register the sales agreement at the Land Registry and pay at least €200,000 plus VAT to begin their application. They must also make a bank deposit into the seller's bank account in Cyprus, transferring the money from abroad.

The application for permanent residency can be submitted by the foreign investor or their legal representative on their behalf to the Civil Registry and Migration Department. Once the application has been approved, applicants must provide a photo and biometric data to receive a residency card.

The fast-track Cyprus residency by investment program can process and approve applications within two months. An investment of €300,000 is required, and a fee of €500 must be paid to the Civil Registry and Migration Department. Additional fees apply for each additional applicant.

The residence permit program in Cyprus has certain conditions and restrictions that must be met, including having a clean criminal record, proof of financial means, and making a minimum investment of €300,000. Applicants must also maintain a minimum deposit of €30,000 in a Cypriot bank account for three years and visit Cyprus at least once every 24 months.

Category

Cyprus offers six categories for immigration permits, which are as follows:

Category A: This category is applicable to foreign nationals who possess land or have the means to acquire land in Cyprus and will be self-employed in the agriculture, cattle/bird breeding, or fish culture sectors. They must have at least €430,000 available, and their activities must not have any adverse effects on the Cypriot economy.

Category B: This category is applicable to foreign nationals who have sufficient financial means and a relevant permit to be self-employed in the mining sector in Cyprus. They must have at least €350,000 available, and their activities must not have any adverse effects on the Cypriot economy.

Category C: This category is applicable to foreign nationals who have sufficient financial means and a relative permit to be self-employed in a profession or trade. They must have at least €260,000 available, and their activities must not have any adverse effects on the Cypriot economy.

Category D: This category is applicable to foreign nationals who possess the necessary academic or professional qualifications and sufficient financial means to be self-employed in a scientific field or a profession in demand in Cyprus. They must also possess adequate funds.

Category E: This category is applicable to foreign nationals who have been offered a permanent work position in Cyprus, and whose presence does not cause unnecessary local competition.

Category F: This category is applicable to foreign nationals who have an independent annual offshore income sufficient to provide a comfortable living in Cyprus without having to work.

Advantages of the Cyprus Permanent Residence Program

Cyprus is a beautiful country, and its government is ready to support people who want to become part of a larger community. So the Permanent Residence in Cyprus Program offers various benefits to foreign investors who are granted permanent residency. These benefits include:

Visa-free travel

Permanent residents can travel visa-free within the European Union (EU) and the European Economic Area (EEA).

High-quality healthcare

Permanent residents are eligible to access the high-quality healthcare system in Cyprus.

Education

Permanent residents can enroll their children in Cyprus' public and private schools.

Tax benefits

The Permanent Residence Program in Cyprus offers various tax benefits, including:

• exemption for high-income earners up to €19,500
• zero tax on rental income from overseas
• there are no taxes on gifts or inheritance, and capital gains tax is limited to assets held within Cyprus
• favorable corporate tax rate of 12.5 percent.

Business opportunities

Permanent residents can start or expand their businesses in Cyprus and benefit from the country's favorable tax system.

Real estate investment

Permanent residents can invest in real estate in Cyprus and enjoy the benefits of the country's growing property market.

Family reunification

Permanent residents can sponsor their family members for permanent residency in Cyprus.

Stable political and economic environment

Cyprus is a politically and economically stable country with a favorable business environment.

Conclusion

Cyprus is a popular destination for those seeking permanent residency due to its favorable tax regime, low cost of living, and excellent healthcare facilities. The Cyprus Permanent Residence Program is a pathway to obtain permanent residency for non-EU citizens and their dependents. There are several ways to obtain permanent residency in Cyprus, including naturalization, marriage to a Cypriot citizen, or investment. The investment program requires a minimum investment of €300,000 in real estate, shares in a Cypriot company, or units of a Cyprus-registered investment fund. Family members can also be included in the application. Obtaining permanent residency in Cyprus through investment is a straightforward process, and the permit can be approved in just a few months.