The Czech Republic wants to join the list of countries selling residence permits for foreign investments
As Radio Prague notes, if the Senate passes the relevant amendment to the law "On the Stay of Foreigners in the Czech Republic," approved by deputies of the lower house of parliament, a new form of residence permit will appear in the country – based on large-scale investments. As reported by the newspaper Mladá fronta dnes, the government's proposal is currently being reviewed by individual commissions of the Legislative Council of the Government.
The draft provisions supplementing the bill "On the Stay of Foreigners in the Czech Republic," providing for the granting of residence permits based on investments, are being jointly developed by the Ministry of the Interior and the Ministry of Industry and Trade. Entrepreneurs from non-EU countries will have to prove the seriousness of their intentions to make large investments that bring undeniable benefits to the Czech Republic, as well as invest at least 75 million crowns and create at least 20 new jobs.
"The conditions for granting large investors the right to long-term stay in the country must be clearly defined," said Deputy Minister of the Interior for Legislative Compliance Petr Mlsna. It is assumed that a residence permit in the case of such large investments may be granted not to one entrepreneur, but, for example, to five members of the official management of the company. "The purpose of this innovation is to create more favorable conditions for foreign entrepreneurs," said František Kotrba, spokesman for the Ministry of Industry and Trade.
In this case, the "golden" visa, which, by the way, remains the fastest way to obtain a residence permit for non-EU residents, for example, in Spain, fully lives up to its name. In that country, the most accessible way to obtain a residence permit is to invest in expensive real estate. The same is true in Malta and a number of other countries.
The most expensive remains obtaining a "golden" visa in France: a foreign investor must invest 10 million euros, become a co-owner of a local company, and create 50 jobs. To obtain a residence permit in Hungary, Latvia, Bulgaria, Cyprus, and Malta, it is enough to buy real estate worth up to 250 thousand euros.
Judging by the disputes among deputies, in the Czech Republic the financial threshold may be lower than the planned 75 million crowns. Otherwise, the Czech Republic would be among the countries that have set this threshold very high, as it would impose stricter requirements than Switzerland or Ireland.
Large investors would be able to stay in the country for up to two years without needing to extend their visa, even if they previously did not have a residence permit in the Czech Republic based on business activities. If the amendment is approved, after the government determines specific criteria for the volume of investments and job creation, the decision on the significance of the investments will likely be made by the Ministry of Industry and Trade of the Czech Republic. However, the verification of the investors themselves will be handled by the Czech Ministry of the Interior.
According to Hana Malá, a representative of the Ministry of the Interior press service, the ministry must exclude the possibility of individuals who pose a threat to public order, internal security, public health, etc., entering the pool of applicants. It is the Ministry of the Interior that is expected to act as a guarantor that the investor is able to fulfill their promises.
As for the requirement of 75 million crowns, 40% of this amount must be in cash, while the remainder may include expensive equipment that the investor brings to the Czech Republic.
The possibility of the innovation, however, is criticized by some senators and representatives of the opposition party TOP 09. The law may also undergo changes based on proposals submitted by ministries of the Czech Republic.