New Zealand has decided to simplify its Golden Visa program to attract wealthy immigrants and promote economic recovery.
According to Bloomberg, on the 8th (local time), Erica Stanford, New Zealand's Minister of Immigration, noted that starting April 1, the 'Active Investor Plus' visa will be reduced to two categories, and the scope of permissible investments will be expanded. The English test required for obtaining this visa will be eliminated, and the duration that investors must stay in New Zealand will also be adjusted.
Active Investor Plus is New Zealand's Golden Visa. The Golden Visa is a special visa program offered to foreigners making investments above a certain amount. Investors can receive a visa or permanent residency in return for contributing to the country's economy, typically investing in real estate, corporations, bonds, or stocks.
New Zealand's Golden Visa attracted an annual average of 1 billion New Zealand dollars (approximately 821.2 billion won) in investments, but the number of applications plummeted after regulatory changes at the end of 2022. Since the changes, only 43 applications have been approved, and the influx of investment has remained at around 545 million New Zealand dollars (approximately 447.5 billion won). Accordingly, the New Zealand government plans to ease visa requirements to reactivate the inflow of foreign investors.
The newly restructured visa program is divided into two categories. The first is 'Growth-type high-risk investment,' which requires a minimum investment of 5 million New Zealand dollars (approximately 410 million won) in corporations or managed funds over three years. Visa holders only need to stay in New Zealand for 21 days per year. The second is 'Balanced mixed-risk investment,' which requires a minimum of 10 million New Zealand dollars (approximately 821.37 million won) to be invested in bonds, stocks, new housing developments, and commercial real estate over five years. In this case, visa holders must reside in New Zealand for at least 105 days, but they can reduce their stay by making additional investments.
The relaxation of regulations for New Zealand's Golden Visa has gained further attention as other countries are ending their programs. According to Bloomberg, Spain plans to terminate its Golden Visa program on April 3, and the United Kingdom, Ireland, the Netherlands, and Greece have also abolished or tightened regulations on their Golden Visa policies.