Portugal’s Proposed Citizenship Changes: What Could Happen Next

Recent headlines suggest that Portugal’s proposed citizenship changes have already been approved. However, let us set the record straight. While it is true that a legislative proposal has been presented by the Portuguese government to amend the naturalisation law, no changes have taken effect yet. The proposal is still under consideration. The final outcome will be determined by the legislative process, which could take several months.

Here’s what investors need to know:

• This is still in proposal stage: The suggested amendments are part of a draft bill introduced by the government and are not yet approved.
• The parliamentary vote is still pending: To be approved, the proposal must secure a two-thirds majority vote in Parliament.
• The process will take time: The proposal is under review and may be amended further during the legislative process.
• Final approval could take several months and implementation timelines (if any) remain unclear.

Naturally, conflicting reports can create uncertainty, but investors should remain calm and informed: Portugal’s Golden Visa remains fully operational. Citizenship is still available after five years under the current legislation.

What’s in the New Citizenship Proposal?

The proposed changes, which are currently under Parliamentary review, focus on adjusting the rules for acquiring Portuguese citizenship through naturalization. Specifically, the main elements under consideration include:

• A longer residency requirement: Increasing the qualifying period from 5 years to between 7 and 10 years, depending on the applicant’s country of origin.
• New knowledge requirements: Introducing a cultural integration test, which would cover Portuguese culture, politics, and core national values.
• Continued language proficiency: Keeping the current A2-level Portuguese language requirement in place.
• Character and security checks: Citizenship would still be denied to applicants with serious criminal records or those considered national security risks.

If the timeframe to citizenship does end up being extended to 10 years, yes, this may be longer. However, it would still remain more flexible than the majority of EU countries. In most EU nations, a 10-year wait is the norm, and often comes with far stricter conditions. In countries like Spain or Italy these conditions include becoming a full tax resident and physically residing for a minimum of 183 days per year. Portugal is not proposing such stringent rules.

It’s important to clarify that these proposed changes apply to all naturalisation applicants. They do not alter or affect the Golden Visa residency programme.

Portugal Golden Visa: Still The Most Flexible EU Pathway

To reiterate, the Golden Visa programme remains entirely unaffected by this proposal. Portugal’s Golden Visa residency route is still open, stable, and legally distinct from the naturalisation law. Golden Visa holders currently have the right to apply for citizenship after five years. They do not need to live full-time in Portugal. Just spend an average of seven days per year to qualify.

Furthermore, based on insights from our legal partners, there is a strong likelihood that Golden Visa investors may continue to qualify under the 5-year rule. This is particularly promising for those who have already begun the process.

Regardless of what the final outcome may be, Portugal continues to offer one of the most flexible, credible, and investor-friendly residency-by-investment programmes in the world and is still a  leading programme when compared to other EU countries.

Portugal Golden Visa Benefits – Regardless of Citizenship Changes:

• Applicants need only spend an average of 7 days per year in Portugal
• Investment options include regulated, diversified funds
• Permanent Residency can be applied for after five years
• There is a clear and achievable route to citizenship without the need for long term relocation
• An exit strategy becomes available once citizenship has been granted.

Stay Informed, Stay Reassured With La Vida

At La Vida, we work closely with leading legal experts in Portugal to stay ahead of developments. As always, we’re committed to ensuring our clients receive timely, accurate advice. Rest assured, we will continue to monitor the situation and provide you with fact-based updates as soon as new information becomes available.

For now, there is no change to the current law, and no change to the Golden Visa programme. If you have any concerns or would like to explore how this could impact your investment strategy, our team is here to assist.

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