In 2022, Indians constituted 9.4% of global applicants for golden passports, an ET report quoting data from Citizenship Invest says. But what is a golden passport? A golden passport is a facility offered by certain countries where foreigners can get citizenship through significant investments or property purchase. For Indian business people, obtaining a higher-ranked passport can greatly facilitate business operations, the report says.
Kristin Surak, an associate professor of political sociology at the London School of Economics, and author of “The Golden Passport: Global Mobility for Millionaires,” highlighted the challenges faced by Indians in international endeavors due to limited passport privileges. An Indian passport allows visa-free entry to just 60 countries, equivalent to Tajikistan.
In contrast, acquiring citizenship in countries like Saint Kitts and Nevis or other Caribbean nations grants access to 157 countries, including the European Union and the United Kingdom. This expanded mobility is advantageous for crucial cross-border business meetings and deals, he notes.
European countries, with Germany at the forefront, followed by Sweden, Spain, France, and Italy, are ranked highest for facilitating business activities. Popular passports for specific advantages include Portugal for EU access, Grenada for US visa-free entry, Cyprus for fast-tracked EU citizenship, and Malta for EU citizenship with broad visa-free access, as per Aakanksha Bhargava, CEO of PM Relocations.
For those interested in business in China, Dominica and Grenada passports offer immediate visa-free entry to this vital market.
These countries provide a tax-friendly environment, with no taxation on global income, capital gains, gifts, wealth, or inheritance, making them appealing to high net-worth individuals, Veronica Cotdemiey, CEO of Citizenship Invest says. Cotdemiey notes that non-residents are not subject to taxes.
Swiss and Portuguese passports are recommended by a leading Mumbai-based corporate lawyer for business endeavors in the Middle East and Europe. Rohit Sharma, Director and COO of Abhinav Immigration Services, suggests a Canadian passport for access to the North American market, followed by Australia. Additionally, Dubai stands as a prominent choice for business activities.
Beyond facilitating travel, possessing a golden passport offers various advantages, including diversification of business interests, global investment prospects, and an expanded business network.
According to Sharma, holding a golden passport enables the diversification of business pursuits and an extended reach. It permits investments, ownership, or operation of businesses in different nations, reducing risks tied to reliance on a single economy. Moreover, it provides access to a broader international network, fostering connections, partnerships, and cross-border business expansion, he adds.
The legal and regulatory environment is a crucial consideration. Sharma notes that this is particularly beneficial for entrepreneurs and investors seeking consistency and transparency. Furthermore, it serves as a safety net in times of economic instability in one’s home country and offers the option to relocate and expand business activities.
Tax planning stands as a significant incentive. “These programs provide opportunities for effective reduction or elimination of tax liabilities,” explained Cotdemiey.
The extent of this advantage hinges on several factors, including residency status, the country of origin, and the nature of income, whether domestic or international. This holds particular value for individuals with substantial wealth, offering avenues to optimize their financial planning, she said.
For instance, Turkey’s popular golden passport program grants its citizens benefits in terms of tax and tariff arrangements when importing goods into the European Union, noted Surak. “hose sorts of business benefits vary from country to country – one has to dig down into the specific countries and treaties and industries – but they can be a bonus too,” she added.
According to Deepa Sharma, Director of Business and Trade Association (BTA), golden passports have facilitated market exploration, penetration, and access to diverse business opportunities, in addition to attracting global investments.
Kristin Surak, an associate professor of political sociology at the London School of Economics, and author of “The Golden Passport: Global Mobility for Millionaires,” highlighted the challenges faced by Indians in international endeavors due to limited passport privileges. An Indian passport allows visa-free entry to just 60 countries, equivalent to Tajikistan.
In contrast, acquiring citizenship in countries like Saint Kitts and Nevis or other Caribbean nations grants access to 157 countries, including the European Union and the United Kingdom. This expanded mobility is advantageous for crucial cross-border business meetings and deals, he notes.
European countries, with Germany at the forefront, followed by Sweden, Spain, France, and Italy, are ranked highest for facilitating business activities. Popular passports for specific advantages include Portugal for EU access, Grenada for US visa-free entry, Cyprus for fast-tracked EU citizenship, and Malta for EU citizenship with broad visa-free access, as per Aakanksha Bhargava, CEO of PM Relocations.
For those interested in business in China, Dominica and Grenada passports offer immediate visa-free entry to this vital market.
These countries provide a tax-friendly environment, with no taxation on global income, capital gains, gifts, wealth, or inheritance, making them appealing to high net-worth individuals, Veronica Cotdemiey, CEO of Citizenship Invest says. Cotdemiey notes that non-residents are not subject to taxes.
Swiss and Portuguese passports are recommended by a leading Mumbai-based corporate lawyer for business endeavors in the Middle East and Europe. Rohit Sharma, Director and COO of Abhinav Immigration Services, suggests a Canadian passport for access to the North American market, followed by Australia. Additionally, Dubai stands as a prominent choice for business activities.
Beyond facilitating travel, possessing a golden passport offers various advantages, including diversification of business interests, global investment prospects, and an expanded business network.
According to Sharma, holding a golden passport enables the diversification of business pursuits and an extended reach. It permits investments, ownership, or operation of businesses in different nations, reducing risks tied to reliance on a single economy. Moreover, it provides access to a broader international network, fostering connections, partnerships, and cross-border business expansion, he adds.
The legal and regulatory environment is a crucial consideration. Sharma notes that this is particularly beneficial for entrepreneurs and investors seeking consistency and transparency. Furthermore, it serves as a safety net in times of economic instability in one’s home country and offers the option to relocate and expand business activities.
Tax planning stands as a significant incentive. “These programs provide opportunities for effective reduction or elimination of tax liabilities,” explained Cotdemiey.
The extent of this advantage hinges on several factors, including residency status, the country of origin, and the nature of income, whether domestic or international. This holds particular value for individuals with substantial wealth, offering avenues to optimize their financial planning, she said.
For instance, Turkey’s popular golden passport program grants its citizens benefits in terms of tax and tariff arrangements when importing goods into the European Union, noted Surak. “hose sorts of business benefits vary from country to country – one has to dig down into the specific countries and treaties and industries – but they can be a bonus too,” she added.
According to Deepa Sharma, Director of Business and Trade Association (BTA), golden passports have facilitated market exploration, penetration, and access to diverse business opportunities, in addition to attracting global investments.