The Cyprus Parliament has passed new legislation that conclusively removes the government’s authority to grant citizenship through investment, marking the definitive end of the controversial Cyprus Investment Programme (CIP), commonly known as the ‘Golden Passports’ scheme.
While the programme was declared terminated back in November 2020 following an extensive undercover investigation broadcasted by Al Jazeera, the legal framework allowing the cabinet to confer citizenship upon investors remained technically active—until now.
The newly approved legislation strips the cabinet of any power to award citizenship to investors, entrepreneurs, and their relatives, closing loopholes that previously allowed citizenship-by-investment to persist in practice.
An important procedural update includes the establishment of a strict 60-day deadline for appeals to the Independent Committee tasked with reviewing citizenship revocation cases. Additionally, names of individuals whose citizenship is withdrawn will now be published in the Official Gazette, enhancing transparency and accountability.
This overhaul is a direct response to the European Union’s infringement procedure initiated against Cyprus in 2020, aiming to prevent any resurgence of citizenship schemes tied to investments.
Besides ending the controversial investment scheme, the legislation introduces refined criteria for honorary citizenship. This will now be available to descendants of Greek soldiers who died in 1974, as well as distinguished cultural contributors who have demonstrated exceptional service to Cyprus. The Deputy Ministry of Culture will oversee recommendations related to these honorary citizenships.
The parliamentary debates showcased a spectrum of views, highlighting deep divisions on the legacy of the CIP. Interior Committee Chair Aristos Damianou criticised the reform as driven by external pressure, warning that reputational damage from the scheme is extensive given that over 7,000 individuals had received citizenship via the programme, often without ever visiting Cyprus.
On the other hand, members like DISY’s Nikos Sykas pointed fingers at previous governance for the programme’s shortcomings, while others across political lines agreed that the scheme’s foundations were fundamentally flawed, resulting in political profiteering and an undermined international image.
A 2021 report, led by former Supreme Court judge Myron Nikolatos, revealed that more than half of the citizenships granted between 2007 and 2020 were unlawful—a sobering insight into the scale of irregularities. Despite these issues, some voices cautioned against dismissing the economic role the scheme played during tough financial periods, especially in supporting jobs.
While the era of ‘Golden Passports’ has ended, Cyprus remains an attractive destination for property buyers. For those interested in cheap houses and villas for sale in Cyprus or exploring plots of land for sale, the market continues to offer diverse options supported by transparent and regulated procedures.
Investors and property seekers should stay informed about evolving regulations and market dynamics as Cyprus navigates its post-CIP phase with a renewed focus on lawful and sustainable growth.
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