EU Court orders Malta to end golden passport scheme

The European Court of Justice has ruled against Malta's golden passport program, deeming it a violation of EU law. The scheme, which granted citizenship in exchange for substantial investments, undermined the principle of mutual trust among member...

The European Court of Justice (ECJ) on Tuesday ruled that Malta must shut down its golden passport programme, saying the scheme violates European Union law. The programme allows wealthy foreigners to acquire Maltese – and by extension, EU – citizenship in exchange for an investment of around 1 million euros ($1.14 million).

The European Commission had taken Malta to court in 2022, raising concerns that the scheme allowed individuals to gain the right to live and work across the EU without a genuine link to the country.

In its judgment, the ECJ stated, “A member state cannot grant its nationality – and indeed European citizenship – in exchange for predetermined payments or investments, as this essentially amounts to rendering the acquisition of nationality a mere commercial transaction.”


The court noted that while EU member states have authority over national citizenship laws, Malta’s investment-based system undermines the mutual trust among countries that forms the foundation of the EU’s shared space.

“Such a practice does not make it possible to establish the necessary bond of solidarity and good faith between a member state and its citizens, or to ensure mutual trust between the member states,” the court added.

Malta has defended the programme, maintaining its actions align with EU treaties.
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(With inputs from Reuters)
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