Saint Kitts and Nevis’s Citizenship By Investment Unit (CIU) has announced several changes to St Kitts and Nevis’s Citizenship By Investment Programme, which will be implemented at the start of 2023 (January 2023).
According to the statement issued by the CIU, they are committed to strengthening the Programme, which has, over the years, generated substantial benefits for the people and the governments of St Kitts and Nevis. The reforms initiated by the Citizenship By Investment Unit aim to enhance the integrity and competitiveness of the CBI Programme.
The Citizenship By Investment Unit undertook a comprehensive review of the current CBI Programme and its regulations, after which they announced several essential changes:
The CIU announced the changes as mentioned earlier in the following areas:
- Management of the CIU
- Sustainable Growth Fund Option
- Real Estate Investment Option
- Private Home Sale Investment Option
- Public Good Investment Option
- Government fees for CBI Application and Post Citizenship Addition Applications
Management of the CIU
The Minister responsible for Citizenship By Investment, Dr Terrance Drew, appointed a new head of the CIU, in the person of Michael M Martin, on December 13, 2022.
Starting from January 2023, the newly appointed Citizenship by the Investment Board of Governors will manage the CIU. The Board will advise the Prime Minister regarding the operation and activities of the CIU. Additionally, they monitor and review the development and policies of the CBI Programme.
Further, the Citizenship Unit has instituted a Technical Committee responsible for reviewing the CBI application starting from January 2023. The Committee also ensures that all due diligence background checks and spot checks are completed on all CBI applications.
In the Sustainable Growth Fund, CIU has announced the following regulation modifications:
The CIU established the Sustainable Growth Fund to facilitate economic development and social upliftment in St Kitts and Nevis. The Fund is also used to provide financial support to the country’s educational institutions and medical facilities. Further, it provides additional funding for the construction of infrastructure, the development of local tourism, the preservation of local culture and heritage and support of sustainable growth initiatives in the nation.
SGF Limited Time Offer: January 1 2023 – June 30 2023
To enhance the attractiveness of the CBI Programme, the CIU has decided upon a Limited Time Offer (LTO) for six months. The period starts on January 1 and lasts till June 30 2023. Applications submitted under the LTO will benefit from reduced minimum contribution amount payable by applicants and shortening the processing time-frame from 90 days to 60 days.
Under the LTO, the minimum amount of SGF contribution is as follows:
– Main applicant: US$125,000
– Main applicant and spouse: US$150,000
– Main applicant, spouse, and two dependants: US$170,000
– Each additional dependant under 18: US$10,000
– Each additional dependant aged 18 or over: US$25,000
SGF: From July 1 2023, onwards
After the expiration of the Limited Time Offer, after July 1, 2023, the Unit will adjust the minimum amount of SGF contribution as follows:
– Main applicant: US$150,000
– Main applicant and spouse: US$175,000
– Main applicanthttps://breakingnews4you.com/news/44499/launched-in-1984-cbi-programme-of-st-kitts-and-nevis-provides-stringent-due-diligence/, spouse, and two dependants: US$195,000
– Each additional dependant under 18: US$10,000
– Each additional dependant aged 18 or over: US$25,000
Real Estate Investment Option
Under the current CBI Programme, the Real Estate Investment Option allows applicants to make a minimum real estate investment of US$200,000 in an Approved Project.
Starting January 2023, only Approved Developments will be eligible for the Real Estate Investment Option under the new regime. All real estate properties previously designated as Approved Projects will lose their designation Developers of these properties are required to apply to the Board of Governors of the CIU to have them fixed as an Approved Development.
Upon designating a property as an Approved Development, the government will set the number of real estate units sold, the construction completion schedule and the corresponding escrow drawdown process.
Further, To maintain the integrity of the CBI Programme, The Unit will introduce the following penalties to any person or entity who circumvents or attempts to circumvent the payment of the legally prescribed minimum investment amount:
- Fine on summary conviction;
- Suspension or revocation of the Approved Development status;
- Removal of Authorised Agent licence
Private Home Sale Investment Option
The CIU will retain the Private Home Sale Investment Option as a permanent investment option under the CBI Programme. The minimum investment per application is US$400,000 in a private single-family dwelling house designated as an Approved Private Home.
The Properties previously designated as Approved Private Homes will lose such designation. Developers of such properties must apply to the Board of Governors of the CIU to have their properties re-designated.
The following Restrictions apply to the Approved Private Home :
- The investor cannot resell it within seven years;
- The investor cannot resell it to any other CBI applicant; and
- The Citizenship holder cannot convert it into apartments or condominiums.
Public Good Investment Option
After January 2023, the Alternative Investment Option (AIO) under the current CBI Programme will be replaced by the newly introduced Public Good Investment Option (PGIO). Under the new option, the minimum investment per application is US$175,000 in an Approved Public Good Project, payable to an Approved Public Good Investor.
Only Approved Public Good Projects qualify for the Investment option.
All investments designated as AIO Developments previously will lose such designation after the new CBI Regulations become effective.
Investors in such developments are required to apply to the Board of Governors of the CIU to be designated as Approved Public Good Investors. Following this, they can apply for their properties designated as Approved Public Good Projects.
Starting January 2023, The government fees payable upon approval-in-principle for non-accelerated CBI applications under the Real Estate Investment Option, Private Home Sale Investment Option and the PGIO will be adjusted as follows:
– Main applicant: US$25,000
– Spouse: US$15,000
– Each dependant child under 18: US$10,000
– Each dependant child or other qualified dependant aged 18 or above: US$15,000
For accelerated CBI applications, the enhanced government fees payable upon approval in principle will be as follows:
– Main applicant: US$42,500
– Spouse: US$32,500
– Each dependant: US$22,500
Government Fees for Post-citizenship Addition Applications
From January 2023 onwards, for non-accelerated post-citizenship addition applications after the approval of the main applicant’s CBI application, the government fees payable will be adjusted as follows:
– Addition of spouse: US$20,000
– Addition of dependant: US$15,000
– Addition of a minor child born before approval: US$10,000
For accelerated post-citizenship addition applications after the approval of the main applicant’s CBI application, the government fees payable will be as follows:
– Addition of spouse: US42,500
– Addition of dependant: US$22,500
– Addition of minor child born before approval: US$12,500
The government of St Kitts and Nevis, headed by Prime Minister Dr Terrance Drew, who is also responsible for the ministries of Finance, Citizenship by investment programme and health, recently announced that they plan to revamp the Citizenship By Investment Programme of St Kitts and Nevis.
The Prime Minister visited Dubai to promote the Citizenship by investment programme of St Kitts and Nevis. Here, he talked about the several changes his government has planned to institute to the Programme to ensure that the Programme stays true to the time, the stakeholders can benefit from the Programme and the High Net worth Individuals applying for Citizenship can get the best out of their investment.
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