New tourism pricing reduction as part of the Grenada CBI programme
August 7th 2019
Through the Grenada Citizenship by Investment Programme (CIP), people who invest in Granada’s economy (or in real estate development) can access citizenship in addition to related benefits that accompany it, including a passport that is relatively powerful and possible qualification for E-2 visa. Now, certain investors will incur fewer expenses to be able to enjoy this potential opportunity.
Amendments to the Act were approved (in March) by the Grenadian Parliament aiming to make available what is perceived to be a range of benefits that are more attractive to investors while at the same time pushing forward government priorities. We feel that this is a win/win dynamic that could cause more investors to gain interest in the program.
It should be noted that the regulation amendment allows for a new pricing option (for investment) to be made in Approved Projects that qualify. That permission however is about the Tourism Accommodation sector. Traditionally, three options have been offered in Grenada under the nation’s Citizenship by Investment Programme. They are:
- To contribute to the nation’s NTF (National Transformation Fund). Under that option, the investor is required to make a one-time payment totaling $200,000 if their family has 4 applicants or $150,000 is they make an application for one individual. Only upon approval of the application should the payment be made. It should, however, be noted that once the payment is done, no return (on this investment) can be made to the applicants.
- A minimum investment of $350,000 should be made in a real estate project that is yet to be approved.
- A ‘significant investment’ should be made – one of considerable benefit to the national economy in Grenada and that would contribute to creation or continuation of employment opportunities (for local citizens). This option is however not too common.
- This option is relatively new and can be perceived to be a hybrid of the 1st and 2nd options.
The requirement is that particular ‘Approved Projects (in the Tourism Accommodation sector)’ may allow investors to qualify for an investment option that is new and less expensive. Applicants who invest in the stated sector are permitted to co-own (with at least one other applicant) a single unit. At least US$220,000 would have to be paid by each of the main applicants followed by a minimum of US$50,000 in government contribution fee.