Grenada has several reasons to be a favourite among Indian HNIs with its attractive Citizenship by Investment Program with the ability to live in the USA
Emerging market economies like India have been witnessing a rapid growth of private wealth that has led to a significant increase in wealthy people interested in greater global mobility. The great American dream became a bygone ambition for many after the H1B & L1 visa freeze and the minimum investment required under the EB-5 Immigrant Investor Program raised to $900,000 from $500,000 in a Targeted Employment Area. If an investment is not located in a TEA, the minimum EB-5 capital needed to invest is a whopping $1.8 million! The processing time for an EB-5 application for Indiansto become US citizens can take up to 6 years.
Additionally, with the onset of the Covid-19 pandemic, people found themselves looking for a hedge against political, economic, and social volatility. This has prompted a recent proliferation of citizenship-by-investment (CBI) programs, which allow high-net-income holders from developing countries to legitimately acquire a second passport that facilitates international travel in the USA, Europe, and the Schengen Area, China This economic citizenship not only strengthens their investment portfolio but also provides a greater range of migration options along with visa-free travel freedom. No wonder, the CBI passport market has turned into a multi billion industry. Interestingly, Mohammed Asaria, Founder and Managing Director of Range Developments said, “A second citizenship is no longer a luxury rather a necessity for the High Net Worth Investor.”
Touted to offer the world’s best CBI program, Grenada, is a Caribbean island with touristic might. Known as the Spice island, it is the world’s second-largest producer of nutmeg after Indonesia and a significant producer of mace, cinnamon, ginger and cloves. It also boasts beautiful scenery with fertile valleys, rainforests and mountain lakes and its tropical climate and excellent beaches are a big draw for tourists. It offers a Citizenship Investment Program for all citizens around the world seeking a second nationality.
But why is the Grenada CBI unparalleled?
From a business perspective and a global viewpoint, a second citizenship allows you to be exempt from visas for a number of countries, opens up new markets to help you increase business opportunities and structure your tax situation advantageously while fully complying with US and international laws. Grenada passport holders may currently travel visa-free or by visa-on-arrival to 143 destinations including Brazil, China, the UK, and Europe’s Schengen Area, Russia as well as other key business and lifestyle destinations. What makes the country an attractive destination is that it has an E2 visa treaty with the US, wherein a Grenadian can apply to reside in the US and obtain permission to do so within 6 to 8 weeks. Also, as a non-immigrant resident, if the principal resident stays in the USA not more than 122 days per year, no tax on worldwide income is levied.
A safe environment: Grenada has a strong economic development prospect and is a good country to invest in. The country’s economy has been steadily growing at about 5% a year and the tourism sector has been recording steady growth for several years.
Competitive tax policy: There is no foreign income tax, property tax, gift tax, tax on wealth or inheritance tax in Grenada. To attract businesses, the country offers corporate tax incentives, exempts all import taxes and has no limit on the flow of capital and profits back home. There is no tax on foreign income, capital gains, imports, gift, inheritance and wealth. There is also
An exceptional quality of life: Grenada’s CBI program allows individuals to own dual nationality and offers the lowest paid family costs of all Caribbean CBI programs. If you decide to migrate to the USA through the E2 visa, you will be allowed to establish, advance and operate a business within the United States. In addition, your spouse will have work authorization there and your kids will be able to attend school of their choice (in many states, children can qualify for in-state tuition at State Universities up until they reach the age of 21).
Not just resident Indians but a lot of NRIs are realising the business advantages of Grenadian citizenship that helps them avoid potential citizenship based tax and one on inheritance. Moreover, similar to the exit tax in the US, the central board of direct taxes (CBDT), which advises the finance ministry on income tax policies, has constituted a body to come up with a set of rules to make people pay for looking to migrate. Which means, sooner than later, Indian citizens too will have to pay a hefty amount in order to exit the country. This gives NRIs a considerable reason to go for the Grenadian CBI and invest in the finest hotels of the island.
For those who wish to apply for a second passport, investment in pre-approved real estate is the best way to go about it. It requires applicants to purchase property and to maintain ownership for at least 5 years. The minimum required investment under the pre-approved real estate option is US$220,000 plus government taxes. It takes about 90 days to process your application for Grenada and another 90 days for the E2 visa. No interview or professional experience is required. You do not even need to live / visit in Grenada to get citizenship. The investor must hold the investment for five years. Thereafter they can resell the investment to another investor who can also apply for citizenship of Grenada. The original investor keeps their citizenship in perpetuity.
About the Author
Mohammed Asaria is Managing Director and Board Member of Range Developments, an international luxury hospitality development company that develops luxury resorts in the Eastern Caribbean under Citizenship-by-Investment programs. Mr. Asaria has a dual background in law and investment banking.