Top 3 Factors to Consider When Choosing a Second Passport
March 17, 2016 - Guide
Investing in a second passport can’t be viewed as a transaction. It is a life-long relationship between you and your new country of citizenship.
But with several available choices – from funds and real estate investments in the Caribbean and Mediterranean islands, to new residency programs in Southern and Eastern Europe, deciding on one that best suits your unique needs can seem daunting.
Here are 3 key considerations to keep in mind:
Citizens of countries with weak economies and business climates or heightened security risks face the most restrictions when it comes to traveling and pursuing business opportunities – part of the reason why the Middle East has seen the biggest demand for second passports in recent years. Among countries, Pakistan, Lebanon and Egypt have the highest number of second citizenship applicants, with nearly 40 per cent of all applicants worldwide coming from these three countries.
Restrictions imposed by your current nationality could be part of the reason why you wish to invest in second citizenship. However, you should be aware that your current nationality could also restrict your choice of Citizenship By Investment Programs (CIP). Citizens of Iran, Afghanistan, Yemen and North Korea currently face certain restrictions on their CIP choices. Your consultant will be able to advise on which countries offer programs currently open to you.
Your family circumstances
Most Citizenship By Investment Programs currently allow you to include your spouse, young dependent children and elderly parents and grandparents as part of a single application. The age of your dependents, their current living arrangements, mental and physical health and whether or not they are in full-time education can determine their eligibility. Make sure you discuss your family circumstances in detail with your consultant and share accurate information on the ages of all dependents.
Your reasons for wanting a second passport
Do you want a second passport for greater global mobility? To do business easily in certain parts of the world? For expanded tax planning options? As an insurance policy against turmoil and uncertainty in your home country? To retire abroad?
Your reasons for wanting a second passport plays a very important role in determining the best program for you and whether you need to opt for a citizenship or a residency program. For instance, the passports of certain countries offer visa-free arrival to China or Canada, some have no residency requirements, while others require you to spend some time in the country to guarantee permanent citizenship.
Ensure you have a frank discussion with your consultant about the reasons why you want a second passport for you and your family.