Careful, the doors are closing: part two

Bulgaria plans to abolish “golden visas”

Obtaining a Bulgarian passport will become harder. Discussions are under way on abolishing the granting of citizenship to major investors, as well as introducing examinations for ethnic Bulgarians who wish to obtain a passport of the Republic of Bulgaria.

The end of “golden visas”

Bulgaria has decided to stop granting citizenship to major investors who have put large sums into the country’s economy. “Golden” visas and passports in exchange for capital investment will probably be abolished soon.

Although few could afford to invest more than a million leva (approximately 500000 euros) in the country’s economy, the law provided for the possibility of obtaining a Bulgarian passport this way. According to Bulgaria’s Minister of Economy E. Karanikolov, 50 people have taken advantage of this opportunity since 2014, among them natives of the Russian Federation.

The provision on issuing “golden visas” appeared in the law in 2013. It was expected that this step would ensure economic growth and the creation of new jobs. Although the volume of investment gradually increased, Deputy Minister of Justice Desislava Ahladova maintains that the stated goals were not achieved. Emil Karanikolov also noted that large investments had no significant effect on the country’s economic situation. In view of this, it was decided to abandon the granting of citizenship “for investment”. Amendments to the law will be discussed on 30 January in the Development Council at the Council of Ministers.

There are other reasons to abandon the granting of citizenship for large capital investments in the Bulgarian economy. The European Commission takes a wary view of issuing “golden passports” for large investments, believing that such a practice makes the European Union vulnerable in terms of criminal activity, corruption and money laundering. Recall that since December last year the United Kingdom has suspended the issuing of “golden visas”: it is assumed that in future this procedure will be subject to certain restrictions.

Other changes

Other amendments to the citizenship law are also expected to be discussed. For example, it is expected that those obtaining citizenship on the basis of origin will have to pass an examination in Bulgarian language and history, as well as confirm that they have a job. In Desislava Ahladova’s view, such an approach will make it possible to avoid situations where people apply for Bulgarian citizenship solely for the opportunity to work in the European Union. It is assumed that Bulgarian passports will be issued to those who genuinely feel themselves to be citizens of Bulgaria.