Luxembourg Investor Residence by Investment

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Luxembourg is one of the richest countries in the world in the heart of Europe.

Luxembourg offers a golden visa scheme known as ‘investor residence’ to foreign investors, who can invest atleast half a million in the country.

  • EU member country: since 1 January 1958
  • Currency: euro. Euro area member since 1 January 1999
  • Schengen: Schengen area member since 26 March 1995

Why Luxembourg?

  • Peaceful, stable country in Europe
  • Founding member of EU, OECD, UN and Benelux
  • Luxembourg has third powerful passport in the world
  • Multicultural country with diverse culture
  • Free movement in the schengen area
  • Excellent infrastructure and connectivity
  • Highly educated workforce in a pro-business environment.

Legal Basis

Immigration Law in Luxembourg was amended on 8 March 2017 in line with the Government’s economic diversification and growth policy to encourage entrepreneurship. A number of new articles were introduced including the new Article 53bis which now regulates the residence permit (autorisation de séjour) for third-country investors. It aims to target foreigners willing to make a high-quality, substantial investment.

Golden Visa Investments

There are three types of investment options available in Luxembourg to obtain investor residence. Any third-country national who plans to make any of the following investments can apply for an investors’ residence permit:

  • Business Job Creation: Investment of at least EUR 500,000 in a company and five work positions: The investment can be in an already existing company or a new company (still to be created). In both cases, the company must have its registered office in Luxembourg and carry out a commercial, artisanal or industrial activity. When the company is new, the five work positions must be created within three years of the incorporation of the business and the recruitment of the staff must be done in collaboration with the National Employment Agency. When the company already existed, at the time of making the investment, the foreign investor must also make a commitment to keep2 the investment and the work positions for at least 5 years; or
  • Investment of at least EUR 3 million in a management and investment structure, either existing or still to be created, with its registered office in Luxembourg where it must have and maintain the necessary substance, also with a solid internal governance system (including adequate internal control mechanisms and appropriate accounting procedures) and at least two job positions; or
  • Deposit of funds with a financial institution of at least EUR 20 million: the financial institution must be established in Luxembourg and the investor must make a commitment to keep the deposit for at least 5 years.

Direct and indirect investments concerning the acquisition or rental of real estate are not taken into consideration for investors to obtain a residence permit.

Investments can be made by the investors themselves or through the intermediary of an investment structure. Intermediaries may include other investment funds, family wealth management funds, private equity or venture capital funds, etc. Those intermediaries have to be entirely owned by the investor applying for a residence permit.

Application Process

Before filing the application for a residence permit, foreign investors must obtain the positive opinion of the Ministry of Economy or the Ministry of Finance (depending on the investment carried out) regarding the intended investment. The Ministry of Economy is competent to examine and verify investments of at least EUR 500,000

The visa application must be filed with the Luxembourg consular services in the country of origin of the foreign investor or at migration office in Luxembourg.

the Immigration Directorate will issue the corresponding investors’ residence permit which has a duration of three years, and can be extended for another three years.

Investor Rights

The residence permit granted to family members of foreign investors grants them the right to education, vocational and professional training, as well as the right to employment or self-employed work

Under Article 53quater (5) of the Immigration Law, a foreign investor who has carried out an investment in a new or an existing company and has been granted a residence permit may request a business permit (autorisation d’établissement) to carry out artisanal, commercial or industrial activities or certain liberal professions (e.g. architect, accountant, real estate agent, running a restaurant or a hotel, etc.) if s/he proves having the necessary qualifications/skills, has registered with the corresponding professional registries and meets the conditions of the Law of 2 September 2011 regulating the access to the professions of craftsman, merchant or industrialist and certain liberal professions

Foreign investors and/or their family members do not benefit from any special tax regime or other benefits

Permanent Residency

After 5 years of legally living

Luxembourg Citizenship

Third-country nationals who wish to be eligible for Luxembourgish nationality must:

  • Have resided in Luxembourg on the basis of a legal permit for at least five years and in the year preceding the application for citizenship must have resided in Luxembourg uninterruptedly;
  • Attend the course “Living together in the Grand Duchy of Luxembourg”;
  • Pass a language test at A2 level in oral expression and B1 in comprehension.
  • Have a clean criminal record.

Luxembourg Passport

Luxembourg has 3rd most powerful passport in the world, with visa free access to 186 countries in the world as of 2019.