The ruling from the European Court of Justice (ECJ) is a significant turning point in the debate over so-called "golden passports." Despite criticism from the European Commission and concerns about risks in terms of security, tax evasion, and corruption, Malta continues with its program for wealthy non-EU citizens who want to invest in the country.
Malta started this program in 2013. To date, the country has raised over 1 billion euros through it. While other countries like Cyprus and Bulgaria have ended their complex schemes under EU pressure, Malta remains steadfast in its decision to continue. There is a possibility that with this recent ruling, other countries may also resume similar programs.
The European Commission had taken Malta to court because — according to Brussels — there are concerns that this system is not aligned with EU values. Worries have also been raised about potential dangers, such as the risk that criminal organizations could abuse the scheme for illegal activities like money laundering and tax evasion.
Promotion
In recent years, government bodies and politicians in Malta have been repeatedly embroiled in controversy over the growing influence of criminals on the governance of the country. Revelations that even prime ministers and ministers were bribed led on October 16, 2017, to the assassination attempt on journalist Daphne Caruana Galizia
Now that the ECJ has confirmed that citizenship is fundamentally a national authority, countries that previously ended their programs under EU pressure, such as Cyprus, may now reconsider reintroducing these schemes.