EU Court Reviews Malta's Golden Visa

Court Overturns Citizenship-for-Cash Program

On April 30th, 2025, the European Court of Justice (ECJ) declared Malta’s “golden passport” program unlawful, stating that granting citizenship in exchange for money contradicts the core values of European citizenship.

The judges asserted that awarding nationality “in return for predetermined payments or investments... turns the acquisition of nationality into a mere commercial transaction.”

The program allowed individuals to gain citizenship by donating up to €750,000, purchasing property, and residing in Malta for 12 months. However, investigations revealed that many applicants stayed for only about three weeks, despite residency requirements.

Malta Justifies Economic Benefits

Malta’s government defended the program, noting it generated over €1.4 billion since its inception in 2015. Officials claimed the funds supported public housing, sports facilities, and healthcare improvements.

Nonetheless, Malta stated it would “respect the court’s decision” and assess its legal implications.

Former Prime Minister Joseph Muscat, who initiated the scheme, described the ruling as “politically motivated” and suggested the program should be reformed rather than terminated.

Transparency Advocates Praise Ruling

Anti-corruption groups and EU institutions endorsed the decision.

Matthew Caruana Galizia, son of the slain journalist Daphne Caruana Galizia, hailed it as “a victory for the people of Malta and all EU citizens who have been unjustly subjected to the whims of money launderers and corrupt criminals.”

Transparency International concurred, cautioning that citizenship-for-sale initiatives “commodify EU citizenship” and facilitate criminal entry into the EU.

Focus Shifts to Golden Visas

The court’s ruling terminates golden passport programs but does not prohibit golden visas. These residency-by-investment schemes, still available in countries such as Portugal, Greece, Italy, and Spain, offer residency in exchange for real estate or financial investments.

Unlike golden passports, they do not immediately confer citizenship.

Nonetheless, legal experts and immigration consultants anticipate increased EU scrutiny of these programs.

“A member state cannot issue a passport unless an applicant has a genuine connection to the nation,” stated Lisbon-based immigration lawyer Bettino Zanzini, urging clients to act swiftly before new regulations are implemented.