Citizenship by investment in 2026 draws foreign capital via second passports

The concept of Citizenship by Investment (CBI), sometimes described as “economic citizenship”, is increasingly being used by foreign investors as part of global wealth planning and mobility strategies, according to an update dated Monday (January 26).

The legal framework allows an individual to obtain a country’s citizenship by making a qualifying financial contribution to that country’s economy.

Many countries use CBI programmes to attract capital, stimulate growth and generate revenue through approved options such as real estate, business investment or government bonds.

In return, successful applicants receive full citizenship and key benefits including greater visa-free travel, broader business opportunities and the potential for more efficient tax planning.

Dominica's long-running Caribbean programme since 1993

One of the most widely recognised programmes is the Commonwealth of Dominica CBI scheme in the Caribbean, described as one of the region’s most stable routes to a second citizenship.

The programme has been operating since 1993.

Two routes, from US$200,000

Dominica offers two main investment routes:

• Donation to the Economic Diversification Fund (EDF)
• Investment in government-approved real estate

Both routes start from US$200,000 and provide the same citizenship rights.

Key selling points, 140+ destinations and no residency requirement

A core advantage highlighted for a Dominica passport is travel mobility.

Passport holders can travel visa-free or obtain a visa on arrival to more than 140 destinations, including the EU Schengen Area, Hong Kong and Singapore.

The process is also described as relatively straightforward, and importantly, there is no requirement for physical residence as part of the programme conditions, allowing investors to continue running global businesses as usual.

Tax structure, no tax on foreign-sourced income

Dominica is described as having a tax structure favourable to foreign investors, including:

• No tax on investment gains
• No inheritance tax
• No wealth tax
• A territorial tax system, taxing only income earned within Dominica (no tax on foreign-sourced income)

Dual citizenship and family inclusion

Dominica allows dual citizenship without restriction.

Applicants can also include family members in the same application, including

• Spouse
• Dependent children
• Eligible parents or grandparents

Turkey's “second passport” via accessible thresholds, with stricter compliance

Turkey continues to use CBI as a strategic tool to attract foreign direct investment (FDI), offering foreign investors, especially high-net-worth individuals, a route to Turkish citizenship through investments tied to the domestic economy, including real estate, finance and job creation.

While Turkey may not be the first choice for everyone compared with Western Europe or the Caribbean, it is increasingly positioned as a regional economic hub connecting Europe, Asia and the Middle East, with strategic relevance for trade, investment and logistics.

Minimum investment, US$400,000 property, held for 3 years

The main entry route is real estate investment starting from US$400,000, with a minimum holding period of three years.

Other investment routes typically require US$500,000 (also held for three years), including

• Bank deposits
• Government bonds
• Real estate investment fund/venture capital fund (REIF/VC Fund)
• Fixed capital investment
• Private pension system contribution (US$500,000)

Turkey also offers a job-creation route through hiring at least 50 Turkish employees.

Mobility, 110–116 destinations

A major draw is improved travel mobility.

A Turkish passport is described as allowing visa-free travel, visa on arrival or eTA access to around 110–116 countries.

It is also noted that Turkish passport holders may find access to long-term visas for the United States and the Schengen area easier in some cases.

No minimum residency after citizenship, but an Investor Residence Permit is required first

Turkey does not require applicants to live in the country for a minimum period after receiving citizenship.

However, the application process requires an initial short-term Investor Residence Permit.

Passport and national ID issuance also requires biometrics, such as fingerprints and standardised photographs.

Processing is typically cited at 4–9 months, commonly averaging 6–8 months.

Tight regulation, especially for real estate

Turkey applies strict compliance controls, particularly for the property route, including:

• Investment funds must be converted through Turkish banks into the central bank system, supported by a Foreign Exchange Purchase Certificate (DAB/FCPC)
• A property valuation report is required from an SPK-authorised entity
• Title deeds must include a “no sale for three years” annotation
• Multiple properties may be combined to reach the US$400,000 threshold when purchasing via title deeds
• For notarised forward-purchase contracts, the full amount must appear in a single contract, in line with the 2023 rule referenced in the brief

Dual citizenship, family coverage, but limits on who can be included

Turkey allows dual citizenship; applicants do not need to renounce their original nationality.

Eligible family members under the same application include:

• Spouse
• Children under 18
• Dependent children with disabilities (no age limit)

However, it does not cover parents or siblings of the main applicant.

Citizenship is for life, provided the required three-year investment holding condition is met.

Tax depends on residency, not citizenship

Turkey determines tax obligations based on residency, not citizenship:

• Those staying in Turkey more than 183 days per year are treated as tax residents and taxed on worldwide income, with progressive rates cited as 15–40%
• Those below the threshold are taxed only on Turkey-sourced income

The brief also notes Turkey has double taxation treaties with more than 85 countries, and that there is no wealth tax or inheritance tax for non-resident citizens.

Vanuatu has fast-track processing and zero global income tax, but weaker Schengen access

Vanuatu, a South Pacific nation in Oceania, continues in 2026 to promote one of the world’s fastest CBI offerings, with processing described at 60–90 days and a simplified structure allowing foreign investors to obtain a second passport via donations or qualifying investments.

A major feature highlighted is no tax on global income, positioning Vanuatu as a “Plan B” option for investors looking to diversify tax and citizenship exposure amid rising geopolitical and economic uncertainty.

Two routes, DSP donation or CIIP, with partial return after 4 years

Vanuatu’s programme is described through two main routes:

1. Vanuatu Development Support Programme (DSP)

• A one-off donation to a government fund
• Minimum donation, US$130,000 (single applicant)
• US$180,000 (family of four)
• Non-refundable

2. Vanuatu Capital Investment Immigration Plan (CIIP)

• Combines donation + fund investment
• Donation, US$105,000
• Additional investment, US$50,000 in an approved fund
• The US$50,000 investment can be redeemed after four years, potentially reducing long-term net cost versus DSP
• Funds may support sectors such as the coconut industry, coffee, and other domestic economic activities

Total costs and family eligibility

The 2026 cost structure is described as

• About US$135,500 for a single applicant
• About US$185,500 for a family of four
• (plus due diligence checks)

The programme is also described as allowing broader family inclusion than many countries, covering

• Spouse
• Children under 30 (unmarried and financially dependent)
• Parents aged 50+

Passport validity is stated as 10 years, with no current requirements for residency or interviews.

Eight-step process, as fast as two months

The application is described as an eight-step process, from document preparation and submission via a licensed DSP agent to background checks and an online oath.

After receiving Approval in Principle, applicants pay the full amount.

Citizenship approval is described as arriving within two weeks, with passports typically issued via the nearest consulate within one month.

Schengen visa-free access ended in 2024

A key drawback is that Vanuatu lost visa-free access to the EU Schengen Area.

The European Union ended Vanuatu’s Schengen visa waiver on 12 December 2024, following a suspension that began in 2022.

Any return would require a new agreement, and there is no clear timeline.

This has reduced the perceived strength of the Vanuatu passport for some investors, although the brief notes that it still enables travel to around 100 countries, including access to Hong Kong, Singapore, Russia and various destinations in Asia, Africa and Latin America.

International Company (IC) tax exemption up to 20 years

Vanuatu is also positioned as tax-friendly for wealthy individuals and foreign investors through tax residency options and the ability to form an International Company (IC).

Under the International Companies Act, ICs are described as receiving exemptions from income tax and capital gains-type taxes for up to 20 years, while a standard VAT of 15% remains for domestic trade.