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International Internet Magazine. Baltic States news & analytics Sunday, 20.01.2019, 17:36

Over 17,000 temporary residence permits issued in Latvia to foreign investors in 7 years

BC, Riga, 27.11.2017.Print version
There were 17,342 temporary residence permits issued in Latvia to investors from third countries in return for their investments in the national economy since 2010 when this program was launched, informs LETA.

According to the Interior Ministry report that will reviewed by the Latvian government next week, from July 1, 2010, to June 30, 2017, altogether 17,833 applications for temporary residence permits had been received - 7,367 for investors themselves and 10,466 for their family members. The total number of temporary residence permits granted is 17,342 but 351 applications were rejected and 3,278 residence permits have been annulled during the period.

Total investments made by non-residents in relation to Latvian residence permits is EUR 1.434 billion, of which EUR 1.191 billion are related to transactions in the Latvian real estate market, EUR 155.9 million have been invested in subordinated liabilities of credit institutions and EUR 80.3 million are investments in share capital of Latvian companies. Also, EUR 7.5 million have been invested in purchase of special interest-free government bonds since January 1, 2015.

As the eligibility criteria were tightened as of September 1, 2014, fewer temporary residence permits have been issued in relation to investments in Latvia in recent years, and the amount of investments has also declined - from EUR 198.9 million in the first half of 2014 to EUR 34.3 million in the first half of 2015, to EUR 33 million in the first half of 2016 and to EUR 18.8 million in the first half of this year.

People seeking temporary residence permits in return for their investments in Latvia mostly come from "the region with unstable geopolitical situation and increased investment risks - great economic and political uncertainty," the Latvian Interior Ministry said in its report. About 90 percent of investors from third countries, who had applied for temporary residence permits in Latvia, come from the territory of the former Soviet Union, mostly Russia.

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