EU Targets Golden Visas in Clampdown on Dirty Money

Long overdue:

European Union lawmakers voted to limit so-called golden visas, as countries across the region clamp down on cash-for-passport programs.

Wednesday’s European parliament vote, which passed with a 595 to 12 majority, aims to ban “golden passports” and set up EU-level regulation on visas that includes stronger background checks on applicants and the source of their wealth. After the vote, the parliament expects the European Commission to propose legislation to standardize programs across the common area.

“The commission has a duty now to act,” MEP Sophie In’t Veld said during a press conference in Strasbourg ahead of the vote. “The whole situation with the war in Ukraine has again put spotlight on the problem of people buying passports, buying residency, buying access to the EU.”

Parliament wants the Commission to come up with a legislative proposal that will ban golden passports, phasing them out by 2025 while regulating golden visas to ensure that investments flow into the real economy. Lawmakers are also asking for stringent background checks, including on family members and on the origin of funds. In addition, the parliament called on the EU Commission to ban Russian nationals who are subject to EU sanctions from all so-called residence-by-investment schemes.

European lawmakers also want to put pressure on third countries, such as Panama or Saint Kitts & Nevis, to abolish visa schemes that allow people who receive the documents to travel freely across the EU.

Source: EU Targets Golden Visas in Clampdown on Dirty Money