Patricia Casaburi
Malta citizenship by investment ending has become a major development following the European Court of Justice (ECJ) ruling on April 29, 2025. The court ruled that Malta’s Citizenship by Naturalization for Exceptional Services (CES) by Direct Investment program did not comply with EU law as it allowed citizenship to be granted mainly based on financial investment without requiring a genuine connection to the country. In response, Malta has agreed to review the legal implications.
This article will provide an overview of the Malta Citizenship by Naturalization for Exceptional Services (CES) by Direct Investment program, explain the impact of the ECJ ruling, how this affects citizenship by investment trends across the EU, and provide other long-term residency options available in Malta.
Is the Malta Citizenship by Investment Program Ending?
Yes, the Malta Citizenship by Investment program is ending. On April 29, 2025, the European Court of Justice (ECJ) ruled that Malta’s Citizenship by Naturalisation for Exceptional Services by Direct Investment, commonly known as its citizenship by investment (CBI) program, violates European Union law and must be discontinued.
The court found that the program breaches Article 4(3) of the Treaty on European Union (TEU), which requires mutual trust and sincere cooperation between EU member states. The ECJ decided that granting EU citizenship purely in exchange for financial investment, without requiring a real connection to the country, undermines the nature of EU citizenship and the integrity of the union.
The decision also emphasized that treating citizenship as a commodity weakens the trust and shared values between EU countries.
Malta’s response to ECJ
The Maltese government responded by stating it respects the decision of the Court and will study its legal implications. Authorities confirmed that all citizenships granted under both the current and previous legal requirements remain valid and lawful.
Malta also defended its due diligence process adding that the country carefully checks all applicants and that any future changes to its citizenship rules will follow both EU law and Malta’s constitution.
Malta's Citizenship by Investment Case with the ECJ Timeline
The attempt to end Malta’s citizenship by investment program started before the 29 April ECJ ruling against Malta’s CBI program. The case started in 2020 and has continued to spark conversation around EU citizenship through investment.
October 20, 2020
The European Commission opened infringement proceedings against Malta, arguing that its CBI program, granting citizenship in exchange for investment, undermines the concept of EU citizenship and lacks a genuine connection to the country.
June 9, 2021
Malta changed its citizenship program after the EU raised concerns. The new version limited approvals to 400 people per year and required investors to live in Malta for at least 12 months before applying. They must invest between €600,000 and €750,000, rent or buy a home, and donate €10,000 to charity. But the EU court still argued the program granted citizenship without a real connection to Malta.
April 6, 2022
The European Commission issued a formal, reasoned opinion asking Malta to end its citizenship by investment program.
September 29, 2022
Since Malta did not make sufficient changes, the European Commission formally referred the case to the European Court of Justice (ECJ). The Commission argued that Malta’s program violated Article 4(3) of the Treaty on European Union (TEU), which
requires member states to cooperate in good faith, and Article 20 of the Treaty on the Functioning of the European Union (TFEU), which defines EU citizenship rights.H3 June 17, 2024
The ECJ held a hearing on the case. Malta defended its program, stating that citizenship is a matter of national sovereignty and that EU law does not limit how member states grant citizenship.
October 4, 2024
Advocate General Anthony Michael Collins gave his opinion, which was not binding but became influential. He supported Malta’s position, arguing that EU law does not require applicants to have a “genuine link” or close connection with the country before being granted citizenship.
April 29, 2025
The ECJ issued its final judgment, ruling against Malta’s CBI program violated EU law. The court stressed that granting citizenship based solely on investment weakens trust between EU member states and turns EU citizenship into a commodity. Malta said it respected the ruling and will review its legal implications.
To learn more about the Malta Citizenship by Investment Program
Malta CES Overview
The Malta Citizenship by Naturalization for Exceptional Services (CES) program allows people to become Maltese citizens by making significant investments in the country. To qualify, investors must contribute to the National Development and Social Fund, buy or rent property, and donate to government-approved charities in Malta.
Malta is known for its strict four-tier due diligence process, which makes the program trustworthy and safe for those looking for citizenship in an EU country.
This CES program offers one of the fastest ways to get citizenship in the EU through investment, if applicants meet the rules. A Maltese passport lets holders travel to over 188 countries without a visa. It also gives applicants, and their families access to high-quality healthcare and education. Plus, the program does not require applicants to live in Malta, making it a flexible option for many.
Investment options
- Applicants must invest either €600,000 or €750,000, depending on whether they choose to live in Malta for 36 months or 12 months before applying. Each dependent requires an extra €50,000 contribution.
- They must either rent a home for at least €16,000 per year for five years, or buy a property worth at least €700,000. If they buy, they must keep the property for at least five years and cannot rent it out.
- Applicants must also donate €10,000 to a registered charity or non-governmental organization approved by the Community Malta Agency. These charities can focus on sports, culture, science, animal welfare, philanthropy, or the arts.
Can you still apply for the Malta Citizenship by Investment program?
No, applications for Malta’s Citizenship by Investment program are no longer accepted. The European Court of Justice ruled that the program violates EU law because it allows individuals to obtain citizenship solely through financial investment, without requiring a genuine connection to Malta. Consequently, Malta is required to end the program.
Citizenship by Investment Trends in Europe
Citizenship by investment in Europe has faced scrutiny in recent years, with some programs being closed due to legal and ethical concerns. Cyprus ended its citizenship by investment program in November 2020 after it came under fire for granting citizenship to individuals who didn’t meet all legal requirements.
While critics argue that CBI programs undermine traditional national belonging and integration ideas, others see them differently. According to the Global Intelligence Unit at Global Citizen Solutions, citizenship in today’s globalized world is evolving, and well-regulated CBI programs can be a legitimate way to attract foreign investment and drive economic growth, especially when there is a meaningful connection between the investor and the host country. The OECD reported that in 2022 alone, citizenship and residency programs generated over €20 billion globally.
Other Malta Residency Options
The Malta Citizenship by Investment Program still offers other routes to long-term residency with different legal requirements, such as the Malta Permanent Residency by Investment program and other short-term visas, such as the Malta digital nomad visa and the Malta Retirement Visa.
Malta permanent residency by investment
The Malta Permanent Residence Program (MPRP) offers permanent residency through investment, with no minimum stay requirements. It allows applicants to include up to five generations: spouse, children, parents, and grandparents and future grand-children.
There are two investment routes. Under the rent option, applicants must lease a property for at least €14,000 per year for a minimum of five years, contribute €60,000 to the government, and donate €2,000 to a registered Maltese NGO.
Under the property purchase option, applicants must buy a property worth at least €375,000 and hold it for five years, contribute €30,000 to the government, and donate €2,000 to a Maltese NGO. The property cannot be rented out or subleased during the five year period.
To learn more about the Malta Permanent Residency by Investment Program
Malta Digital Nomad Visa
The Malta Digital Nomad Visa allows remote workers live in Malta while keeping their job with a company outside the country. The visa requires applicants to show proof of employment or business ownership abroad, earn at least €42,000 per year, and have full health insurance. It is valid for one year and can be extended up to four years, giving holders the chance to enjoy Malta’s vibrant culture and lifestyle while working remotely.
Malta Retirement Visa
The Malta Retirement Programme (MRP) provides a pathway to residency and tax benefits for retirees from outside the EU, EEA, and Switzerland. To qualify, applicants must hold a pension constituting 75% of their chargeable income, own or rent a property that meets set minimum values depending on the location, have health insurance covering them in Malta and the EU, and demonstrate financial stability. Retirees pay a flat 15% tax on foreign pension income sent to Malta, with a minimum annual tax of €7,500 (+€500 for spouse/partner). While employment is limited, non-executive roles are allowed. The program encourages retirees to spend at least 90 days each year living in Malta.
As part of our commitment to providing transparent and reliable services, we are proud to be a licensed agent in Malta, holding the official license number AKM-AGEN. This certification demonstrates our dedication to the highest standards in the investment migration industry and further enhances our ability to offer expert guidance and support to our clients.
How Can Global Citizen Solutions Help You?
Global Citizen Solutions is a boutique migration consultancy firm with years of experience delivering bespoke residence and citizenship by investment solutions for international families. With offices worldwide and an experienced, hands-on team, we have helped hundreds of clients worldwide acquire citizenship, residence visas, or homes while diversifying their portfolios with robust investments.
We guide you from start to finish, taking you beyond your citizenship or residency by investment application.
Frequently Asked Questions about Malta Citizenship by Investment Ending
Is the Malta Citizenship by Investment program ending?
Yes, the Malta Citizenship by Investment program is ending. On April 29, 2025, the European Court of Justice ruled that the program violated EU law by granting citizenship solely in exchange for financial investment, without requiring a genuine connection to Malta. The court emphasized that such practices undermine the integrity of EU citizenship and the principle of mutual trust among member states. In response, Malta has stated it respects the ruling and will study its legal implications.
What specific EU laws did Malta's program violate?
The program was found to breach Article 4(3) of the Treaty on European Union (TEU), which requires sincere cooperation between member states, and Article 20 of the Treaty on the Functioning of the European Union (TFEU), which defines EU citizenship rights.
Can I still apply for Maltese citizenship through investment?
No, the Citizenship by Investment program applications are no longer accepted following the ECJ ruling.
What does the ECJ ruling mean for Malta's citizenship rules?
Malta must shut down its current Citizenship by Investment program and cannot grant citizenship solely based on financial investment without other meaningful ties to the country.
Has Malta introduced a replacement program?
Malta has not introduced a direct replacement for the Citizenship by Investment program but continues to offer other residency options under different rules.
What happens to those who have already obtained Maltese citizenship through the program?
All current applications are on hold until we receive official guidance on whether they will be allowed to proceed under the existing rules
Are there other ways to become a Maltese citizen?
Yes, Malta offers citizenship through naturalization, descent, and other residency pathways that require a genuine connection to the country.
