From July 1st it’s going to be harder for foreigners to get residence permit in Georgia. From this day president’s new ordinance goes into force. IMPORTANT NOTE: This article is related to Investment Residence Permit. There are some other types of Residence Permits in Georgia, which can be reviewed on the bottom of this article.
Changes in Minimum Capital Requirements for Investment Residence Permit
From July 1st it’s going to be harder for foreigners to get investment residence permit in Georgia. From this exact day presidents new ordinance goes into force. According to the current law, a person can be granted the right of residence if they make an investment or buy real estate of not less than 300 000 GEL The draft law increases the amount of an initial investment to $300 000 equivalent in GEL.
Changes in Residence Permit Validity
Here is a good news for Non-Residents, validity period of the Permit increases from 3 to 5 years.
Changes in Permanent Residence Permit Requirements
Granted Based on Business Investment
Holder of Investment residence permit is obligated submit annual accounting reports to Revenue House of Georgia. Permanent Residence Permit Can be granted to alien, who was already holding investment residence permit for past 5 years and can prove the following :
- 1st Year Turnover is less than 50 000 USD equivalent to GEL.
- 2st Year Turnovers is less than 100 000 USD equivalent to GEL.
- 3nd t Year Turnovers is less than 120 000 USD equivalent to GEL
On the other hand, In case your company does not reach these threshold your Investment Residence Permit may be Terminated.
Granted Based on Real Estate Investment
This type or residence permit can be granted to non-residents investing not less than 300 000 USD in Real Estate in Georgia. Residence Permit holders must stay in ownership of the property during the validity of the Permit to be eligible for permanent residency. After five years of holding such residency you become eligible for permanent residency.
Key Fact About Business Immigration in Georgia
- Citizens of 95 countries can arrive and stay in Georgia for up to a year without a visa. A person is perceived as an immigrant if they stay in Georgia for 183 days in the last 12 months and have spent 183 days in other countries in previous 12 months.
- From those nationalities who buy real estate in Georgia, 53% of them are Russians and they occupy the first place. Then come citizens from the Ukraine, Armenia, Azerbaijan, and Israel. Between 2014 and 2018 70,508 foreigners were granted a right of residence.
- Citizens of Azerbaijan occupy the first place among them who received the right of residence. Then come Russia, Turkey, Armenia, Ukraine, India, China and Iran.
- The majority of labour residence permits are mostly granted to the citizens of Turkey, India, China, Ukraine and Iran.
- Permanent residence rights are granted mostly to the citizens of Azerbaijan, Russia, Armenia, Ukraine and Turkey.
- Educational residence permits are mostly granted to the citizens of India, Iraq, Nigeria, Azerbaijan and Turkey.
- Due to family reunification residence rights are mostly granted to the citizens of Azerbaijan, Russia, Armenia, Ukraine and Turkey.
- Between 2014 and 2018 only 9,408 applications were rejected. This equated to 12% of the total number of applications. ne of the initiators of the draft law and a lawmaker Ilia Tsulaia says that it was conceived following an incident when it was discovered that one flat was being used by 10 or 15 foreign families to try and get permanent residence rights- by cheating of course. A foreigner would by a flat and receive residence rights, then they would re-register it to the other family and they would receive the right of residence as well and for as long. So the idea of a draft law is to avoid such accidents and deter foreigners from cheating the State. He says that if one buys real estate and they re-register it to someone else, they will lose their right of residence automatically. Soso Archvadze, another initiator of the draft law emphasizes that a state should protect the rights of its citizens and entrepreneurs and this should not be perceived as a xenophobic act, but as an action to protect interests the State’s market
Types of Residence Permit in Georgia
Georgia issues several types of residence permits. However, these are the types which most probably reader of my blog would be interested:
• Work residence permit is issued to persons coming to Georgia for entrepreneurial or labour activities as well as to freelancers;
• Study residence permit is issued to persons coming to Georgia to study at authorized educational institutions;
• Special residence permit is issued to a foreign citizen who, based on a reasonable doubt, might be a victim of human trafficking. Such instances are specified in the Law of Georgia on Combating Human Trafficking. A special residence permit is also issued to a foreign citizen who has written endorsement from a member of the government of Georgia, asking to issue a temporary residence permit to the person. It can also be issued to a foreigner subject to expulsion, after 5 years since he/ she was granted the right of temporary stay, and to the citizen of foreign country who has a status of Compatriot Residing Abroad;
• Permanent residence permit is issued to a spouse, parent and child of citizen of Georgia; also to a foreign citizen who, holding a temporary residence permit, has resided in Georgia during the preceding 6 years. The period of staying in Georgia for educational purposes or medical treatment, or working for a diplomatic or equivalent mission will not be counted;
• Investment residence permit – Discussed in this chapter
Useful Links
Be aware that resent changes also apply on other two types of residence permits: Work Permit and Temporary Residence based on Real Estate. Read more…. for Compete Extract from the law click here
Residency by Investment in Georgia: A Comprehensive Guide
For those looking to secure residency in Georgia, the residency by investment program offers a long-term solution for investors. We will tell you details of the investment residency program, the necessary requirements, and the application process, helping potential investors understand how to take advantage of this opportunity.
Investment Residency vs. Short-Term Residency in Georgia
Many people confuse investment residency with short-term residency, particularly the residency granted to individuals who invest at least $100,000 USD in real estate. While short-term residency is a great option for some, investment residency is a longer-term solution, designed for those who meet more significant investment criteria and wish to build a long-term presence in Georgia.
Requirements for Residency by Investment in Georgia
To qualify for Georgia’s investment residency program, applicants must meet the following criteria:
Initial Investment:
Invest at least $300,000 USD in Georgia.
Business Activity:
The applicant must have an active business in Georgia, generating a proven income each year. The specific income requirements are:
Year 1: $50,000 USD.
Year 2: $100,000 USD.
Years 3-5: $120,000 USD annually.
These income benchmarks demonstrate that the business is thriving and contributes to Georgia’s economy.
Documents Required for Residency by Investment
The application process for investment residency is relatively straightforward but does require specific documentation. Here is a list of essential documents needed:
Passport Copy:
A copy of your passport to verify your identity.
Proof of Investment:
Official documentation confirming your $300,000 USD investment in Georgia.
Asset Verification:
The investment must be officially assessed and verified by an authorized Georgian entity.
Recommendation Letters:
Three letters of recommendation from either the Georgian government or a legal representative of a recognized Georgian legal entity.
Biometric Photo:
A recent biometric photo to be included in the application.
Application Fee:
You will need to pay a standard application fee.
Application Process and Timeline
Once all documentation is gathered, the application process is simple and efficient. After submitting your application and documents, the processing time is typically 10 working days.
Additionally, family members can apply for residency through family reunification, allowing your spouse and children to gain residency status along with you.
Why Invest in Georgia?
Georgia is an attractive destination for investors due to its business-friendly environment, low taxes, and strategic location at the crossroads of Europe and Asia. The residency by investment program not only allows you to reside in Georgia but also opens the door to various business opportunities and travel benefits across the region.
Contact Us for Investment Residency in Georgia
If you’re interested in applying for investment residency or want to explore business opportunities in Georgia, we can help. With over seven years of experience assisting investors, we offer expert guidance throughout the entire process, ensuring a smooth transition.
Contact us today to learn more about how you can secure long-term residency in Georgia through investment.
Useful Links:
- Click here for more information about residence permit application procedures itself.
- Click here for Information Regarding entering Georgian Boarder. VISA requirements in Georgia.
- Click here for Law of Georgia – ON THE LEGAL STATUS OF ALIENS AND STATELESS PERSONS
- Click here for Recent Amendments in above mentioned law – Available in Georgian Only
Expats.