Citizenship-for-Sale Schemes in Bulgaria, Cyprus, and Malta
Keywords:refugee status determination, UNHCR, mandate refugees, recognition
AbstractCitizenship-for-sale schemes aimed at attracting wealthy and mobile individuals, so-called “high net worth individuals” (HNWIs) whose net assets are of US$1 million or more. A growing number of governments now seek to attract this category of migrants with abundant wealth. Many large and small states introduced various programmes and schemes to attract foreign investors. However, the European Commission has many concerns about these schemes regarding national security risks, ethics of nationality and can possible economic distortions. In a resolution adopted in January 2014, the European Parliament expressed its concern that the “outright sale of EU citizenship undermines the mutual trust upon which the Union is built”. It maintained that “EU citizenship implies the holding of a stake in the Union” and this “should never become a tradeable commodity”. This article explores citizenship for sale schemes in three new member states that joined the EU in 2004-2007 pointing out key areas of concern in the implementation of citizenship-for-sale schemes in the cases of Cyprus, Malta, and Bulgaria.
Adim, L. (2017). Between Benefit and Abuse: Immigrant Investment Programs. Saint Louis University Law Journal, 62, 121-136.
Angelov, G. (2017). 10 years in EU: Migration Trends in Bulgaria. Sofia: Open Society Institute. Retrieved from http://osi.bg/downloads/File/2017/MigrationTrendsBulgaria_10YearEU_EuPI2017.pdf
Armstrong, C. (2011). Citizenship, egalitarianism and global justice. Critical Review of International Social and Political Philosophy, 14(5), 603–621. https://doi.org/10.1080/13698230.2011.617121
Barbulescu, R. (2014). Global mobility corridors for the ultra-rich and why understanding the neoliberal transformation of citizenship matters. Should citizenship be for sale? EUI Working Paper. Retrieved from http://eudo-citizenship.eu/commentaries/citizenship-forum/citizenship-forum-cat/990-should-citizenship-be-for-sale?showall=&start=4
Bauböck, R. (2014). Global, European and National Questions about the Price of Citizenship. Should citizenship be for Sale? EUI Working Paper RSCAS. Retrieved from http://cadmus.eui.eu/bitstream/handle/1814/29318/RSCAS_2014_01.pdf
Bellamy, R. (2019). State Citizenship, EU Citizenship and Freedom of Movement. In R. Bauböck (Ed.), Debating European Citizenship (pp. 107–112). Cham: Springer International Publishing. https://doi.org/10.1007/978-3-319-89905-3_21
Bonde, J.-P. (Ed.). (2009). Consolidated reader-friendly edition of the Treaty on European Union (TEU) and the Treaty on the Functioning of the European Union (TFEU) as amended by the Treaty of Lisbon (2007) (2. ed). s.l.: Foundation for EU Democracy.
Brillaud, L., Martini, M., Transparency International, & Global Witness (Organization). (2018). European getaway: inside the murky world of golden visas.
Carrera, S. (2014). How much does EU Citizenship Cost? The Maltese Citizenship-for-Sale Affair: A breakthrough for sincere cooperation in citizenship of the union? (April 25, 2014). Liberty and Security in Europe Paper No. 64. Available at SSRN: https://ssrn.com/abstract=2430117
Council of the European Communities, & Commission of the European Communities (Eds.). (1992). Treaty on European Union. Luxembourg : Lanham, MD: Office for Official Publications of the European Communities ; UNIPUB [distributor].
Csipkés, M., & Nagy, S. (2017). Formation of Migration Potential in Hungary from 2000 Until Today. The Annals of the University of Oradea. Economic Sciences, XXVI(2), 312–318.
Danaj, A., Lazányi, K., & Bilan, Y. (2018). Perceptions and Implications of Immigration in France – Economic, Social, Political and Cultural Perspectives. Economics & Sociology, 11(3), 226–247. https://doi.org/10.14254/2071-789X.2018/11-3/14
Dinan, D., Nugent, N., Paterson, W., & Buonanno, L. (2017). The European Migration Crisis. In D. Dinan, N. Nugent, & W. E. Paterson, The European Union in Crisis (pp. 100–130). London: Macmillan Education UK. https://doi.org/10.1057/978-1-137-60427-9_6
Doomernik, J., & Jandl, M. (Eds.). (2008). Modes of migration regulation and control in Europe. Amsterdam: Amsterdam University Press.
Dzankic, J. (2015). Investment-Based Citizenship and Residence Programmes in the EU. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2558064
European Commission. (2019). Free Movement of Persons (Fact Sheets on the European Union). European Commission. Retrieved from http://www.europarl.europa.eu/ftu/pdf/en/FTU_4.1.3.pdf
European Parliament. (2014). European Parliament resolution of 16 January 2014 on EU citizenship for sale. Retrieved from http://www.europarl.europa.eu/sides/getDoc.do?pubRef=-//EP//TEXT+TA+P7-TA-2014-0038+0+DOC+XML+V0//EN
FinanceMalta. (2019). HNWIs Residency Comparison Chart 2017/2018. Malta: FinanceMalta. Retrieved from https://iconfinancemalta.blob.core.windows.net/libx-127-public/Articles,%20Interviews,%20PR/Articles/HNWIs_Residency_Comparison_Chart_2017_2018.pdf
FT Specialist. (2018). A Guide to Global Citizenship (Special Report). Financial Times. Retrieved from https://www.pwmnet.com/content/download/47644/821937/file/CBI%20Index%202018.pdf
Harpaz, Y., & Mateos, P. (2018). Strategic citizenship: negotiating membership in the age of dual nationality. Journal of Ethnic and Migration Studies, 1–15. https://doi.org/10.1080/1369183X.2018.1440482
Henley & Partners (Firm). (2017). Global residence and citizenship programs 2017-2018: the definitive comparison of the leading investment migration programs.
Hidalgo, J. (2016). Selling Citizenship: A Defence: Selling Citizenship: A Defence. Journal of Applied Philosophy, 33(3), 223–239. https://doi.org/10.1111/japp.12117
Hudcovský, M., Lábaj, M., & Morvay, K. (2017). Employment Growth and Labour Elasticity in V4 Countries: Structural Decomposition Analysis. Prague Economic Papers, 26(4), 422–437. doi: 10.18267/j.pep.623
Hungary: Immigrate to Europe. (2019a). Hungary Business Residence Program. Retrieved from http://www.hungary-immigration.com/hungary-immigration-easy-immigration-to-europe/
Hungary: Immigrate to Europe. (2019b). Permanent Residence Card. Retrieved from https://www.hungary-immigration.com/permanent-residence-card/
Ivanova, D. (2017). Hungarian Security Policy and the Migrant Crisis (2015–2017). International Conference KNOWLEDGE-BASED ORGANIZATION, 23(1), 166–171. https://doi.org/10.1515/kbo-2017-0026
Kogan, I. (2007). Working through barriers. Dordrecht: Springer.
Kochenov, D. (2014). EU Citizenship without Duties: EU Citizenship without Duties. European Law Journal, 20(4), 482–498. https://doi.org/10.1111/eulj.12095
Mahon, M. (1999). The Turkish minority under communist Bulgaria—politics of ethnicity and power. Journal of Southern Europe and the Balkans, 1(2), 149-162.
Mavelli, L. (2018). Citizenship for Sale and the Neoliberal Political Economy of Belonging. International Studies Quarterly, 62(3), 482–493. https://doi.org/10.1093/isq/sqy004
Mentzelopoulou, M. M., & Dumbrava, C. (2018). Acquisition and loss of citizenshipin EU Member States: Key Trends and Issues. European Parliamentary Research Service. Retrieved from http://www.europarl.europa.eu/RegData/etudes/BRIE/2018/625116/EPRS_BRI(2018)625116_EN.pdf
National Institute for Strategic Studies - Odessa Branch, Ukraine, & Makoukh, V. (2017). Contemporary Bilateral Relations between Ukraine and Hungary: Main Features and Hot Issues. Logos Universality Mentality Education Novelty: Political Sciences and European Studies, 4(1), 49–51. https://doi.org/10.18662/lumenpses.2017.0401.04
New World Wealth. (2018). Global Wealth Migration Review 2018 (GWMR 2018). South Africa. Retrieved from https://samnytt.se/wp-content/uploads/2018/02/GWMR-2018.pdf
OECD. (2017). How's Life in Hungary? Paris: OECD. Retrieved from https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=2ahUKEwjG2JmR5_rgAhXRLlAKHcvOAFQQFjAAegQIARAC&url=https%3A%2F%2Fwww.oecd.org%2Fstatistics%2FBetter-Life-Initiative-country-note-Hungary.pdf&usg=AOvVaw2qypLGklfPXCV28naVi4Gn
OECD. (2018). Consultation Document: Preventing Abuse of Residence by Investment Schemes to Circumvent the CRS. OECD. Retrieved from https://www.oecd.org/tax/exchange-of-tax-information/consultation-document-preventing-abuse-of-residence-by-investment-schemes.pdf
Owen, D. (2011). Transnational citizenship and the democratic state: modes of membership and voting rights. Critical Review of International Social and Political Philosophy, 14(5), 641–663. https://doi.org/10.1080/13698230.2011.617123
Parker, O. (2017). Commercializing Citizenship in Crisis EU: The Case of Immigrant Investor Programmes. JCMS: Journal of Common Market Studies, 55(2), 332–348. https://doi.org/10.1111/jcms.12462
Petkova, L. (2002). The ethnic Turks in Bulgaria: Social integration and impact on Bulgarian‐Turkish relations, 1947–2000. The Global Review of Ethnopolitics, 1(4), 42-59.
Pendleton, D. & Dodge, S. (2018). Where the Super-Rich Go to Buy Their Second Passport. Bloomberg, 20 July, https://www.bloomberg.com/graphics/2018-buying-citizenship/?srnd=wealth. Accessed: 2 March 2019.
Rangelova, R., & Vladimirova, K. (2017). Migration from central and eastern Europe: the case of Bulgaria. In European Trade Union Institute (ETUI) (Ed.), Migration Waves in Eastern Europe [1990-2015] (pp. 105–128). Nomos Verlagsgesellschaft mbH & Co. KG. https://doi.org/10.5771/9783845279398-105
Rangelova, R., & Bilyanski, V. (2018). Demographic Development of Bulgaria in a Regional Plan as a Basis for Economic Development. Economic Studies journal, (6), 141-154.
Scherrer, A., Thirion, E., et al. (2018). Citizenship by investment (CBI) and residency by investment (RBI) schemes in the EU: state of play, issues and impacts : study. Retrieved from https://data.europa.eu/doi/10.2861/10673
Shachar, A., Bauböck, R., Bloemraad, I., & Vink, M. (Eds.). (2017). The Oxford Handbook of Citizenship (Vol. 1). Oxford University Press. https://doi.org/10.1093/oxfordhb/9780198805854.001.0001
Shachar, A., & Hirschl, R. (2014). On Citizenship, States, and Markets: On Citizenship, States, and Markets. Journal of Political Philosophy, 22(2), 231–257. https://doi.org/10.1111/jopp.12034
Shaw, J. (2018). EU Citizenship: Still a Fundamental Status? SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3157556
Sirkeci, I., Acik, N., Saunders, B., & Přívara, A. (2018). Barriers for highly qualified A8 immigrants in the UK labour market. Work, employment and society, 32(5), 906-924.
Strielkowski, W., Rausser, G., Bilan, Y., & Tsevukh, Y. (2018). Migrant remittances and their impact on the economic development of the Baltic States. Geographica Pannonica, 22. https://doi.org/10.5937/22-16988
Treaty of Amsterdam amending the Treaty on European Union, the treaties establishing the European Communities and certain related acts. (1997). Office for Official Publications of the European Communities ; Bernan Associates [distributor].
van Fossen, A. (2018). Passport sales: how island microstates use strategic management to organise the new economic citizenship industry. Island Studies Journal, 13(1), 285–300. https://doi.org/10.24043/isj.30
Vasilopoulou, S., & Talving, L. (2018). Opportunity or threat? Public attitudes towards EU freedom of movement. Journal of European Public Policy, 1–19. https://doi.org/10.1080/13501763.2018.1497075
Warf, B. (2019). European Corruption in Geographic Perspective. In Global Corruption from a Geographic Perspective (pp. 57-82). Springer, Cham.
Xu, X., El-Ashram, A., & Gold, J. (2015). Too Much of a Good Thing? Prudent Management of Inflows under Economic Citizenship Programs (No. 15-93). International Monetary Fund. Int'l Monetary Fund, Working Paper WP/15/93. https://www.imf.org/external/pubs/ft/wp/2015/wp1593.pdf.