Latvian parliament has approved amendments to the Immigration Law, which stipulate how foreign investors and their family members can obtain a residence permit in this EU member state.
The amendments taking effect from 1 September 2014 pertain to the conditions of obtaining a residence permit by those who buy real estate in Latvia or place a subordinated deposit in a Latvian bank.The duty for obtaining a residence permit is determined as 5% of the real estate value.
Prior to the amendments taking effect, investors will be able to buy real estate for obtaining a Latvian residence permit in accordance with the terms and conditions valid up to now – the minimum value of a facility in Riga, Jurmala and other big cities of Latvia being about EUR 143 000, and in the regions – about EUR 72 000. The Law anticipates that the currently valid terms and conditions will be applied to real estate transactions registered in the Land Registry up to 31 August 2014.
To obtain a residence permit by placing a subordinated deposit in a Latvian bank, the stipulated amount and the deposit term remain unchanged. However, starting from 1 September an investor who wishes to obtain a residence permit will also have to pay EUR 25 000 to the state budget.
The terms and conditions for obtaining a residence permit in the event of investing into a business remain unchanged – from EUR 35 000 or EUR 150 000, depending on the number of employees and the annual turnover of the company.
Starting from 1 January 2015, investors will be provided an opportunity to obtain a Latvian residence permit by buying interest-free public securities with a nominal value of EUR 250 000, having also paid EUR 25 000 to the state budget.
A residence permit in Latvia allows its holder and his family to reside in the country on a permanent basis (which is not a compulsory condition), as well as to travel in the entire Schengen territory visa-free.
