Spain to Implement Limitations on Golden Visa Program
After being implemented for the last 10 years, the Spanish government has initiated measures to limit the Golden Visa program due to the ongoing housing problem in the country. The Spanish Ministry of Economic Affairs, Social Security, and Immigration has created new regulations that will make obtaining the Golden Visa more challenging, taking into account the feedback received from various non-governmental organizations and political parties.
The Ministry is currently investigating the real contributions of foreigners who have leveraged the program to benefit the Spanish economy. There are concerns that the program may have actually encouraged speculation in the country’s housing market rather than promote economic development. Inigo Errejon, the leader of the political party “Mas Pais,” which supports the coalition government from outside, noted that “the Golden Visa encourages speculation of housing prices in Spain, does not benefit the national economy and kidnaps the local population in big cities.”
Spain’s decision to limit the Golden Visa program follows Portugal’s earlier decision to end the program, which began in 2012, due to rising rent and housing prices in the country. The Spanish government’s new regulations will not only make it more difficult to obtain a Golden Visa, but will also scrutinize the real value of this program to Spain’s economy.