Spanish Congress Will Decide on Cancelling the Golden Visa Program

Brittany Collins

In July 2024, the Spanish government submitted a bill to Congress to eliminate the Spain Golden Visa program. Initially, the government considered cancelling only the real estate purchase option, but the current proposal seeks to abolish all investment options.

The Spain Golden Visa program was introduced in 2013 to attract foreign direct investments and support the economy during an economic crisis. It offers a 3-year residence permit for investments in six available options:

real estate purchase — €500,000+;
opening a deposit in a Spanish bank — €1,000,000+;
purchase of shares of Spanish companies — €1,000,000+;
purchase of units in investment funds — €1,000,000+;
purchase of government bonds — €2,000,000+;
business investments — no minimum investment specified.

Why Does the Spanish Government Suggest Cancelling the Golden Visa Program?

Over the last decade, the Spain Golden Visa program attracted around 15,000 investors.

Recently, the government carried out a study and found that almost all golden visas were granted based on real estate purchases, with other investment options contributing insignificantly.

The main argument for cancelling the program is that it has driven up property prices without significantly boosting economic growth or job creation. The government also argues that rising property prices have undermined social improvements, such as the 54% increase in the minimum wage.

Which Investment Options Will be Affected by the Amendment?

The amendment seeks to abolish all routes to residency by investment, rather than the property purchase option only, as was discussed earlier.

The text of the proposed amendment has not yet been made public.It is believed that it will repeal articles 63, 64, 65, 66, and 67 of the 2013 law on support for entrepreneurs and their internationalisation, eliminating the possibility of granting new investment visas.

Existing golden visas will remain valid and renewable under the current law, but no new applications will be accepted if the amendment passes.

The legislative process is expected to begin after September 9th, with a final decision anticipated in the following months. Until then, the Spain Golden Visa program remains unchanged, allowing foreigners to acquire a Spain residence permit by investment.