Malta is a tiny island located in the Mediterranean Sea. Few people know about it, as it is not always visible on the map. However, this country has everything one needs for life: a mild climate, good quality medicine, attractive conditions for business, and excellent security. In addition, the tiny island state boasts a stable economy and low cost of living.

Unsurprisingly, many people choose this island to enjoy a peaceful and safe life. Before that, however, it is necessary to figure out some nuances. One of them will be Malta PR by investment, which will be discussed in detail in our article by Zlata Erlach, an expert of Immigrant Invest.

Malta Permanent Residence

In 2016, the Maltese authorities announced a unique program for people wishing to get permanent residence on the island. Since 2021, this scheme has been updated. According to this scheme, it is necessary to donate 150,000 euros, and the procedure itself will not take more than 6-8 months.

Benefits

The Malta Permanent Residence program offers foreign nationals the following opportunities:

• rights equal to those of Maltese citizens;
• investment return;
• favorable taxation;
• the chance to get a job in European companies;
• the opportunity to register a business and pay taxes at preferential rates;
• low crime rate;
• no requirements for permanent residence in Malta;
• free movement within the European Union.

Among the listed advantages, it is also worth noting that the closest relatives of the investor can count on such a status on the island in 2-3 months.

Requirements

The Malta PR program also has several conditions for foreigners that must be met. The main one is a specific payment to the state structure. It is also possible to buy or rent real estate. An investor needs to pay 28 000 euros when buying real estate of 350 000 euros or 58 000 euros to rent an apartment, house, or commercial building from 10 000 to 12 000 euros per year.

The following is required:

• pay the state fee of 40,000 euros for the application;
• contribute 2,000 to a local charity;
• provide a document confirming the availability of capital of 500,000 euros or more;
• take out insurance in Malta, covering expenses not less than 30,000 euros.

Such requirements are binding for five years after the person becomes a certificate holder and a person with an RP card. In addition, officials may periodically check the person for compliance with these criteria. It is also worth passing a medical examination and providing a certificate of no problems with the law.

Malta Residence Permit

In 2015, the local government passed a regulation according to which foreigners could obtain the right to reside on the island. Representatives of any state, except Switzerland and the EU, can apply for the Malta RP. Holders of this status have the following opportunities:

• free admission to countries with Schengen jurisdiction;
• preferential taxation;
• use of the services of international banks;
• life in an area with a low crime rate;
• the opportunity to receive a prestigious education.

In addition, the program provides some benefits for businesses. For example, the income of foreigners not transferred under the Maltese jurisdiction is entirely tax exempted. Moreover, one will not have to pay duties on the capital increase obtained from the sale of property, even if it is registered on the island.

Requirements

Obtaining a Malta residence permit depends on certain circumstances stipulated by the legislation of a small country. A foreigner will have to:

• buy real estate for 320,000 euros;
• rent an apartment or other facilities for 10,000-12,000 euros per year;
• contribute 250,000 euros to the country’s economy for five years;
• have accumulated capital of 500,000 euros or prove an annual profit of 100,000 euros;
• pay an administrative fee of 5,500 euros;
• make a one-time donation of 24,500 euros to the Maltese authorities.

The government also requires proof of the absence of a criminal record and proof of the legitimacy of the origin of one’s own money. The applicant’s next of kin can also obtain a residence permit.

Differences between Malta PR and RP

These statuses provide unrestricted travel to the Schengen area and residence on the island all year round. However, there are a few differences:

• the price of paperwork;
• different time of status renewal.

Otherwise, these statuses allow foreign nationals to settle easily in Malta.

Conclusion

Maltese permanent residency, together with the Malta residence permit, provides some significant benefits to foreign nationals. However, they have several differences, so people carefully study their conditions before applying to both programs. Nevertheless, as practice shows, both of these statuses are acceptable.