Russian Golden Visa for Investment

According to RBC, the Russian government approved a new law on "golden visas" for foreign investorsat the end of April.The Ministry of Economic Development hopes that the law will be adopted in the autumn session and the mechanism will start operating by the summer of 2022.

General Rules

Various conditions of the Russian "golden visa" program are being considered, but so far the key ones are:

• to invest at least 30 million rubles in Russian companies and create at least five jobs for Russian citizens;
• to invest at least 30 million rubles in real estate in Russia, which will ensure tax residency.

The ministry said they do not plan to impose restrictions on investors from any states.

To obtain a residence permit, a potential investor must make sure that they meet the criteria, apply for a business or private visa, and come to Russia to submit the documents personally.

A real estate expert and chairman of the Sulim & Partners Bar Association Olga Sulim believes that the criteria that will prohibit the issuance of Russian "golden visas" may include:

• criminal record of foreign citizens, especially for serious crimes;
• involvement in the activities of extremist and terrorist organizations;
• money laundering.

The mechanism for checking the recipients of "golden visas" must be very serious and include the involvement of the tax service, internal affairs, and security agencies. It only makes sence to issue a residence permit after such a check. 

Which countries offer residence by investment? 
Austria
UAE
UK
USA
Spain

Why Russia Needs It

The Ministry of Economic Development decided to offer foreigners a residence permit in exchange for investment for several reasons. First of all, the measures must make the country more attractive for investors. Even now such investors may receive a residence permit on a preferential basis. Secondly, the law can help to decrease the time of get the documents. At the moment, the issuance of the Russian residence permint can take up to 1,5 year, but athorities plan to make it 6 months.

The Russian permit will also give foreigners the same rights with Russian citizens such as getting a job or free medical help (except for participating in elections and serving in the army).

Who Will Be Interested

As noted by the experts of Savills, this "golden visa" is aimed at those for whom the primary issue is the purchase of real estate, and the visa is more of an additional bonus.

Many buyers are likely to consider Moscow and St. Petersburg as investment targets. At the moment, only 5% of premium real estate buyers in the Russian capitals are foreign.  And with the adoption of the new procedure for obtaining a residence permit the number of foreign buyers of residential real estate (especially in the business class, premium and elite segments) may grow.

Experts agree that among those who decide to use the Russian program of residence permit for investment, it is unlikely that there will be many citizens of Western countries. The program can also be interesting for investors from China, residents of neighboring countries and eastern neighbors. Savills notes that Kazakhstan has recently shown interest in Russian real estate.

Quoting conditions of Prian.info materials