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The United States has recently unveiled a new immigration initiative known as the “Gold Card,” designed to attract wealthy foreign investors by offering a streamlined path to US citizenship in exchange for a substantial investment of $5 million (approximately Rs 43 crore). This program is being considered as a potential replacement for the existing EB-5 visa, which currently requires a lower investment threshold of $1 million and a commitment to create at least 10 jobs within the United States. The US is not alone in utilizing investment-based visas; numerous countries, including India, have implemented similar schemes to attract foreign capital and expertise. India's equivalent is the Permanent Residency Status (PRS) scheme, which, while also offering residency to foreign investors, differs significantly in its conditions and ultimate benefits compared to the proposed US Gold Card. The EB-5 visa, a temporary visa category, allows holders to pursue a Green Card, eventually leading to American citizenship. Data from a CNBC report indicates that approximately 3,800 Indian citizens have availed themselves of the EB-5 visa over the past decade to relocate to the United States. It is crucial to understand that the US Gold Card, like the EB-5 visa, is not a direct pathway to citizenship but rather a permit for temporary stay, which, according to statements made by former President Trump, will expedite the process of obtaining citizenship. Similarly, India's PRS scheme enables foreign investors to reside in India on a temporary basis, subject to specific conditions. However, a key distinction is that India's PRS does not grant citizenship and imposes stricter requirements than the new US initiative. The US Gold Card proposal, initially announced by Trump, necessitates a $5 million investment from non-American citizens and promises to simplify their journey to citizenship. This program emerged amidst criticisms of the EB-5 visa, with Commerce Secretary Howard Lutnick labeling it as “nonsense” and “fraudulent,” arguing that it provided an easy route to acquiring a Green Card at a relatively low cost. A Green Card, officially known as a Permanent Resident Card, confers the right to live and work permanently in the US. The EB-5 program, launched in 1990, allows foreign investors to gain US residency, but not citizenship, by investing a minimum of $1,050,000 (or $800,000 in economically distressed areas) and generating employment opportunities. Lutnick indicated that the Trump administration aimed to replace the EB-5 program with the Gold Card, which would demand a larger investment but offer more substantial privileges, most notably a faster track to citizenship. The introduction of the Gold Card has also reignited discussions surrounding the H-1B visa, a visa category frequently utilized by Indian professionals seeking employment in the United States.
India’s Permanent Residency Status (PRS) for investors, mirroring the EB-5 of the US and the proposed Gold Card, offers a long-term residency option for foreign investors. Established in 2016, the PRS scheme does not lead to Indian citizenship. To qualify for the PRS scheme, a foreign investor must invest at least $1.1 million (Rs 10 crore) within 18 months or approximately $2.8 million (Rs 25 crore) within 36 months through the Foreign Direct Investment (FDI) route, as outlined by the government's Invest India initiative. This investment must also create employment for a minimum of 20 resident Indians annually. Upon meeting these investment and employment criteria, the investor will be granted a B-1 (Investor) visa, exempting them from the requirement of registering with the Foreigners Regional Registration Officer (FRRO)/Foreigners Registration Officer (FRO). Once the investment and employment conditions are met, applicants can apply for PRS online via the FRRO. PRS holders are permitted to purchase one residential property for personal use and are exempt from the standard minimum salary requirements for foreign employment in India. Additionally, a B-1X visa is available for spouses and dependents of the investor, co-terminus with the investor's business visa, subject to the same terms and conditions. The B-1X visa allows them to work in India's private sector or pursue education without needing a separate visa. The PRS scheme is intended to stimulate foreign investment in India and support the Make in India program, according to a statement released by the Home Ministry in 2016. A key distinction between the US and Indian programs lies in the fact that the US Gold Card aims to enhance the likelihood of investors becoming American citizens, while India's PRS only grants long-term residency for a period of 10 years, with the possibility of renewal for another decade. This is a multiple-entry visa, as per Invest India. The US program necessitates a $5 million (approximately Rs 43 crore) investment, substantially higher than India's Rs 10 crore investment requirement. However, India's PRS comes with stringent conditions, including the requirement to generate employment, and it excludes Pakistani citizens or individuals of Pakistani origin. The US scheme might be open to all wealthy investors, although some restrictions might be implemented later. Furthermore, the PRS is not a guaranteed right and can be revoked if the investor fails to meet the required investment or employment criteria, is found to be involved in criminal activities, or is deemed to be of unsound mind by a court. In such cases, the investor and their family must leave India within three months, and any property they own must be sold within a year, in accordance with India's FEMA rules.
The PRS scheme has reportedly struggled to gain traction. A 2018 report in The Hindu indicated that it did not attract any applicants in its first two years. Trump's Gold Card may prove to be more appealing due to the incentive of American citizenship, which is highly sought after by individuals from numerous countries. Many European Union countries and Canada also offer permanent residency to foreign investors, making their schemes more attractive to wealthy individuals. Therefore, while India has its own version of Trump's Gold Card, the prospect of American citizenship is what makes the US program more enticing for investors, including those from India. The attractiveness of any investment-based immigration program hinges on several factors, including the ease of application, the clarity of the requirements, the potential for long-term residency or citizenship, and the overall desirability of the host country. The US, with its robust economy, established legal system, and cultural influence, has traditionally been a preferred destination for immigrants. The Gold Card, with its explicit path to citizenship, aims to capitalize on this appeal. However, the high investment threshold may limit its accessibility to only the wealthiest individuals. India's PRS, while requiring a lower investment, faces challenges due to its stricter conditions and the lack of a citizenship pathway. The requirement to create and maintain a significant number of jobs can be difficult for some investors, and the exclusion of Pakistani citizens further narrows the potential applicant pool. Furthermore, the long-term uncertainty associated with temporary residency, compared to the security of citizenship, may deter some investors. In conclusion, the US Gold Card and India's PRS represent different approaches to attracting foreign investment. The US focuses on providing a clear path to citizenship in exchange for a substantial investment, while India prioritizes employment generation and maintains strict control over permanent residency. The success of each program will depend on its ability to meet the needs and expectations of its target audience.
The competitive landscape of investment-based immigration programs is constantly evolving, with countries around the world vying for wealthy individuals and their capital. Factors such as political stability, economic opportunities, quality of life, and access to education and healthcare all play a role in attracting foreign investors. Countries like Portugal, Spain, and Greece have gained popularity in recent years due to their relatively low investment requirements and the promise of residency or citizenship within the European Union. Canada also remains a popular destination, offering a well-established immigration system and a high quality of life. The success of any investment-based immigration program ultimately depends on a combination of factors, including the attractiveness of the host country, the clarity and efficiency of the application process, and the long-term benefits offered to investors. The US Gold Card, with its promise of citizenship, has the potential to be a highly sought-after program, but its high investment threshold may limit its accessibility. India's PRS, while facing challenges, could be improved by streamlining the application process, reducing the bureaucratic burden, and potentially offering a more defined path to permanent residency. As the global economy continues to evolve, countries will need to adapt their immigration policies to remain competitive and attract the talent and capital needed to drive economic growth. The US Gold Card and India's PRS represent just two examples of the many innovative approaches being taken to attract foreign investment and promote economic development. The long-term impact of these programs remains to be seen, but they highlight the importance of immigration policy in shaping the global economy and fostering international cooperation.
Source: US to offer citizenship route for $5 million. Does India have own Gold Card visa?