Portugal Golden Visa program, long regarded as one of the most attractive residency-by-investment schemes in Europe, is at a critical juncture. With recent reforms, pending European legislation, and evolving national policies, the program is undergoing significant transformation. As Portugal navigates these changes, it remains a beacon of hope for global investors seeking stability, opportunity, and a welcoming home.
Portugal Golden Visa Overview: What You Need to Know
Over the past two years, the Portugal Golden Visa has undergone significant changes, reshaping the landscape for investors seeking European residency. While the program remains one of the most attractive residency-by-investment options in Europe, recent policy shifts and legislative updates have altered the investment pathways and long-term benefits.
Here are the most relevant considerations:
- European Legislation and the Malta Golden Visa Precedent
- Elimination of the Real Estate Option
- The End of the Portugal NHR Program
- AIMA’s Streamlined Process
- Portuguese Citizenship Eligibility
- The Rise of Portugal Golden Visa Investment Fund
1. European Legislation and the Malta Golden Visa Precedent
The European Union’s stance on residency-by-investment programs is evolving, with heightened scrutiny on schemes such as Malta’s Golden Visa program. Legal challenges and calls for stricter regulations on such programs are raising questions about the future of all EU Golden Visas, including Portugal’s.
The pending court rulings regarding Malta’s program could set precedents for Portugal and other EU nations, potentially introducing stricter compliance requirements or harmonized rules across member states.
Despite this, Portugal’s commitment to refining its program demonstrates its willingness to align with European standards while preserving its appeal to investors.
2. Elimination of the Real Estate Option
One of the most significant recent changes to the Golden Visa program has been the elimination of the real estate investment route from the Portugal Golden Visa. First by eliminating residential properties in major cities like Lisbon, Porto, and coastal areas, and as of October 2023, by eliminating the real estate investment option entirely.
This move, aimed at addressing housing affordability and redirecting investments toward other sectors, has shifted focus to alternatives like investment funds, scientific research contributions, and business ventures.
While this marks the end of an era for real estate-driven Golden Visas, it also signifies Portugal’s intent to diversify its economy and attract sustainable, forward-thinking investments.
3. The End of the Portugal NHR Initial Program
Portugal’s Non-Habitual Resident (NHR) program, which offered tax incentives to foreign residents, is also coming to a close. This decision has sparked debate among expats and investors, as the NHR program was a key driver of Portugal’s popularity among high-net-worth individuals.
The new program, NHR 2.0, known as the Fiscal Incentive for Scientific Research and Innovation (IFICI), is much more restrictive unless the professional activity is linked to the Portuguese scientific community or has been previously approved by Portuguese authorities.
While the end of NHR may reduce some financial incentives, Portugal’s other attributes—including its Golden Visa program, quality of life, and strategic location—continue to make it an attractive destination.
4. AIMA’s Streamlined Process
The transition of responsibilities from SEF (Serviço de Estrangeiros e Fronteiras) to AIMA (Agência para a Integração, Migrações e Asilo) has begun to reshape the immigration landscape in Portugal. AIMA, the newly established Agency for Integration, Migration, and Asylum, is actively working to streamline its operations and address long-standing delays and inefficiencies that have frustrated Golden Visa applicants and other immigration processes in the past.
One of the significant changes is the implementation of reforms aimed at improving accountability and transparency. Recent court rulings have mandated that AIMA respond to pending applications within 90 working days. This legally enforced deadline is intended to prevent prolonged wait times and provide applicants with greater clarity about the status of their applications.
AIMA is not only adhering to legal deadlines but also modernizing its operations by implementing digital systems to streamline and accelerate application processing. Starting in 2025, the Golden Visa application process will transition entirely from paper-based to a fully digital format. This change is expected to enhance efficiency and significantly reduce approval times. Therefore, it is crucial to ensure full compliance with all requirements and avoid any errors during the submission process.
5. Portuguese Citizenship Eligibility
Portugal’s nationality law, which allows Golden Visa applicants to apply for Portuguese citizenship after five years of holding the Golden Visa, has seen significant progress last year.
A particularly impactful change addressed the waiting period for processing new Golden Visa applications, which previously could extend up to 18 months. This delay created uncertainty for applicants seeking to meet the five-year residency requirement for citizenship eligibility.
To tackle this issue, the law was amended to ensure that the waiting period for processing Golden Visa applications now counts toward the five-year residency requirement for citizenship. This change not only streamlines the pathway to citizenship but also enhances the program’s attractiveness to foreign investors.
This amendment remains a cornerstone of the program’s appeal, alongside other advantages like the ability to maintain residency with minimal physical presence requirements and access to the European Union.
6. The Rise of Portugal Golden Visa Investment Fund
With the ending of the real estate route for the Portugal Golden Visa and the increasing inflow of U.S. citizens, the program has gained significant momentum and has become one of the most sought-after options for Golden Visa investors. The investment landscape in Portugal is now more attractive than ever, with over 50 qualifying funds available for the program.
These funds span various sectors, offering investors the opportunity to diversify their portfolios. Options include investments in start-ups, renewable energy, agriculture, football clubs, and the hospitality industry, catering to a wide range of interests and risk profiles. This diversification allows investors to align their choices with both financial goals and personal values, while contributing to Portugal’s economic and cultural development.
The market is highly regulated by the CMVM (Comissão do Mercado de Valores Mobiliários), ensuring that all investments meet stringent standards of governance and transparency. Professional fund management adds an extra layer of security and efficiency, giving investors peace of mind about the handling of their capital. Additionally, the withholding tax rate is 0% for non-residents, further enhancing the appeal of these investments by offering a tax-efficient structure.
Will Portugal End the Golden Visa in 2026?
Growing Political Pressure & European Influence
There has been political debate in Portugal regarding the future of the Golden Visa.
Critics argue that it has driven up property prices (despite real estate no longer being part of the program) and that Portugal should focus on local economic development rather than attracting foreign investors.
The European Union has also increased pressure on “golden passport” schemes, pushing for stricter rules on residency-by-investment programs across Europe.
Economic Considerations: The Case for Keeping the Program
Despite the criticism, the Golden Visa has brought billions of euros into Portugal’s economy since its launch in 2012.
Investment funds, scientific research, and business creation—now the primary pathways—directly support economic growth and innovation.
Given the government’s focus on foreign direct investment and entrepreneurship, the program may continue but with further refinements.
Possible Changes to Expect in 2026
Rather than a full cancellation, experts predict that the Portugal Golden Visa program will evolve with new conditions, such as:
- More restrictions on passive investments (e.g., tightening regulations on investment funds)
- Increased minimum investment thresholds (possibly beyond €500,000)
- Stronger due diligence & background checks to align with EU recommendations
- More incentives for business creation and job generation
How Portugal Residency Advisors Can Assist
Applying for the Portugal Golden Visa is a complex process that requires careful navigation of legal, financial, and bureaucratic requirements. Portugal Residency Advisors® offers expert guidance to streamline the application, ensuring compliance with Portuguese immigration laws while maximizing investment potential.
With a team of experienced lawyers, financial advisors, and immigration specialists, we help clients choose the best investment route, whether through investment funds, business creation, or cultural and scientific contributions.
Our comprehensive support includes legal representation, document preparation, tax guidance, and banking assistance, making the process smooth and efficient.
Frequently Asked Questions About The Future of Portugal's Golden Visa
Is the Portugal Golden Visa program ending or being phased out?
No, the Golden Visa program is not being completely phased out, but significant changes have been introduced. Notably, the real estate route has been removed, meaning investors can no longer qualify for the program through residential property purchases in high-density areas. Instead, alternative investment options, such as venture capital funds, cultural support, or business creation, are now the primary pathways.
What are the alternative investment options for the Golden Visa?
With the removal of the real estate option, alternative investment routes include:
- Investing in regulated venture capital or private equity funds.
- Creating jobs through a business investment in Portugal.
- Supporting cultural or scientific research projects.
How does the end of the real estate route impact existing Golden Visa holders?
The changes do not retroactively affect existing Golden Visa holders. If you secured your Golden Visa through real estate before the law change, your residency and pathway to citizenship remain unaffected. However, new applicants will need to explore alternative investment options to qualify under the revised rules.
Will the demand for the Golden Visa decrease with these changes?
Despite the removal of the real estate route, demand is expected to remain strong, particularly among investors from the U.S., UK, and other regions seeking access to Portugal’s stable economy, favorable tax regime, and EU benefits. With over 50 qualifying funds offering diverse investment opportunities, the program remains highly attractive for those looking to secure residency while diversifying their portfolios.
How AIMA changes impact the processing of applications?
The transition from SEF (Serviço de Estrangeiros e Fronteiras) to AIMA (Agência para a Integração, Migrações e Asilo) aims to streamline application processes and reduce delays. Recent reforms include legal deadlines for processing applications, such as requiring decisions within 90 working days. These efforts are designed to improve efficiency and restore confidence in the Golden Visa program, ensuring it continues to be a competitive option for global investors.
Can Golden Visa holders still apply for Portuguese citizenship after five years?
Yes, the pathway to Portuguese citizenship remains intact. Golden Visa holders can apply for citizenship after five years, provided they meet the residency requirements. Importantly, recent reforms allow the waiting period for application processing to count toward the five-year timeline, easing the path to citizenship.
Are the Golden Visa changes likely to impact Portugal’s economy?
The shift in focus from real estate to diversified investments is intended to sustain Portugal’s economic growth by encouraging capital flow into sectors such as technology, renewable energy, and cultural projects. Although the real estate market in urban areas may see some impact, the overall economy is expected to benefit from more sustainable and varied investment inflows. The program continues to attract global investors, ensuring its relevance in Portugal’s economic strategy.
