• The citizenship-by-investment scheme allows foreigners to obtain a Maltese passport and thereby access rights to live and work across the EU, require a minimum investment of €600,000, property acquisition or rental, and a charitable donation.
The European Union’s top court has ruled that Malta’s controversial “golden passport” scheme—granting citizenship in exchange for financial investment—violates EU law.
The scheme, which allows foreigners to obtain a Maltese passport and thereby access rights to live and work across the EU, require a minimum investment of €600,000, property acquisition or rental, and a charitable donation.
The Court of Justice stated that such a program reduces citizenship to a mere commercial transaction. The European Commission brought Malta to court in 2022 over the issue.
In response, Malta’s government said it respects the ruling and is carefully reviewing its legal implications to align the citizenship-by-investment program with the court’s judgment, while reaffirming its belief that citizenship matters remain a national competence.
Malta’s government said its citizenship-by-investment scheme has generated over €1.4 billion since 2015, funding a national savings and investment initiative for present and future generations.
In a statement, the government expressed pride in the wealth created through the program. However, the EU’s Court of Justice ruled that granting nationality in exchange for predetermined investments turns citizenship into a commercial transaction and is incompatible with EU law.
While EU countries can set their own nationality rules, the court said Malta’s scheme undermines mutual trust among member states. Malta now risks fines if it fails to comply with the ruling.
The decision contradicts an earlier opinion by Advocate General Anthony Collins, who argued that EU law does not require a “genuine link” and that citizenship remains a national matter.
Malta criticized the court for ‘ignoring’ the advocate general’s advice, noting other EU states run similar schemes; it suspended applications from Russians and Belarusians in 2022 amid growing EU concerns over security, corruption, and financial crime risks.
