We’ve written about Malta several times over the year. When it comes to global mobility and tax residency benefits, Malta has proven itself to be a serious player in the European Union. This small Mediterranean island nation has consistently punched above its weight, offering a compelling blend of lifestyle and financial advantages that have caught the attention of entrepreneurs, digital nomads, and high-net-worth individuals alike.

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We’ve previously delved into Malta’s Citizenship by Direct Investment program, which has been particularly headline-grabbing. However in this article we will turn our attention to a less controversial but also very attractive option: the Malta Permanent Residence Program (MPRP).

In this article, we’ll give you a clear-eyed view of what Malta’s residency program really offers. We’ll explore the application process, the financial requirements, and the potential benefits and drawbacks of making Malta your second home.

Residency by Investment vs. Citizenship by Investment

While this article focuses on Malta’s Residency by Investment program, it’s worth considering the Citizenship by Investment option as well, particularly for those interested in securing EU citizenship without moving there full-time. The Citizenship by Investment program involves a higher investment threshold but offers the benefit of a much quicker path towards citizenship with minimal stay requirements.

Below, we’ve provided a side-by-side comparison of the two programs to help you determine which might be the best fit for your goals.

  Malta Citizenship by Direct Investment Malta Permanent Residence Program (MPRP)
Program features Provides citizenship through direct investment in Malta. Offers permanent residency through investment in Malta.
Residency requirement 12 or 36 months legal residency before applying for citizenship; with at least 30 days physical presence per year. No requirement to live in Malta full-time; investment must be held for 5 years.
Non-refundable capital contribution €600,000 (36 months) or €750,000 (12 months). €28,000 (purchase) or €58,000 (rent).
Additional capital contribution for dependents €50,000 per dependent Spouses and children of any age are free to include on initial application. Other dependents (e.g., parents and grandparents) are €7,500 each.
If you would like to add more dependents at a later stage, there are additional fees. See: inclusion of family members
Real Estate investment Purchase (€700,000+) or rent (€16,000/year). Purchase €350,000 (central/northern Malta)
or
€300,000 (southern Malta/Gozo)
or
Rent (€12,000/year central/northern, €10,000/year southern Malta/Gozo).
Donation to registered Maltese charity €10,000 €2,000
Application fees for main applicant €5,000 for the main applicant’s residence permit, €15,000 for due diligence fees. €40,000 non-refundable registration fee
Application fees for each dependent €1,000 per dependent’s residence permit, €10,000 for due diligence fees.  
Processing time from initial application to getting residence permit Typically takes 3-4 weeks to get the temporary residence permit. Typically takes at least 8-12 months from initial application to getting your permanent residence permit.
Path to citizenship Direct path to citizenship after fulfilling residency and investment requirements. Possible to apply for citizenship after showing significant ties and residency in Malta for 5 out of the last 7 years.
Minimum total capital outlay (Renting, main applicant + spouse)* €771,000 for 3-year program, €921,000 for 1-year program €150,000
Minimum total capital outlay (Buying, main applicant + spouse)* €1,391,000 for 3-year program, €1,541,000 for 1-year program €370,000

*This was calculated based on one main applicant and one spouse. It’s worth noting that this is total capital outlay, i.e. money you will need up front, whether it is refundable or not. Some minor fees, such as residency card issuance fees of €27.50 in the case of the CBI program and €137.50 in the case of the RBI program have been omitted in this comparison for the sake of round numbers. Click here for a more detailed cost breakdown for the MPRP.

If you want to learn more about Malta’s direct route to citizenship, make sure to read our in-depth guide to Malta’s Citizenship by Investment program.

Malta Permanent Residence Program (MPRP)

Malta’s Permanent Residence Program (MPRP) was introduced in 2021, replacing the previous Malta Residence and Visa Program (MRVP) as part of the government’s efforts to enhance and streamline its residency offerings.

MPRP is not to be confused with Malta’s Global Residence Program (GRP), which unlike MPRP, focuses specifically on granting special tax status for a minimum annual payment rather than permanent settlement in Malta.

The MPRP was designed to attract high-net-worth individuals and their families by providing a quick path to permanent residency in Malta. The program allows beneficiaries to reside indefinitely in Malta, a member of the European Union, and enjoy visa-free travel within the Schengen Area. The MPRP offers a robust package of benefits, including the ability to live, work, and study in Malta, access to high-quality healthcare and education, and a favorable tax regime.

Reasons to consider Malta:

  • Great location: Malta is centrally located in the Mediterranean, providing easy access to Europe, North Africa, and the Middle East with plenty of direct flight connections.
  • Schengen area access: Residence permit holders can enjoy visa-free travel within the Schengen Area for 90 days out of a 180-day period, making it convenient for business and leisure travel across Europe.
  • Favorable tax regime: Malta’s tax system is especially advantageous for new residents, particularly with its non-domicile tax system where foreign income is only taxed if brought into Malta and foreign capital gains are entirely tax free even if remitted to Malta.
  • No minimum stay requirement: With residency through MPRP, there is no mandatory amount of time you must stay in the country to retain your permanent residency status, although there are if you later plan to get citizenship.

Investment Requirements for Malta Permanent Residence Program (MPRP)

Here’s a breakdown of the investment requirements:

Government Contribution: Applicants must make a non-refundable government contribution of €28,000 if they opt to purchase property, or €58,000 if they choose to rent property. This contribution is a core component of the MPRP and must be fulfilled as part of the application process. An additional contribution of €7,500 is due for each parent or grandparent you include on your application.

Real Estate Investment: If you choose to purchase property, you must invest a minimum of €350,000 in a property located in the central or northern parts of Malta, or €300,000 if the property is in the southern region of Malta or in Gozo. Alternatively, you can rent a property with a minimum annual rent of €12,000 in Malta or €10,000 in Gozo or the south of Malta. The property must be maintained for a minimum of five years.

Donation to a Maltese NGO: In addition to the government contribution and real estate investment, applicants are required to make a charitable donation of at least €2,000 to a registered Maltese non-governmental organization (NGO) involved in philanthropic, cultural, scientific, artistic, or animal welfare activities.

Non-Refundable Administration Fee: Additionally there’s a €40,000 administration fee, €10,000 of which is due within a month of application, with the remaining balance due after receiving approval in principle.

Financial Eligibility: At the start of the application, you must show proof of having assets worth at least €500,000, with a minimum of €150,000 in financial assets. These assets are additional to what you will spend on the investment in Malta.

One of the key differences in Malta’s residency by investment program compared to other programs like Portugal’s Golden Visa or Greece’s Golden Visa is that you must make rather significant non-refundable contributions, which adds to the overall cost without any potential return on investment.

For example, if you choose to buy a property in central or northern Malta, you will invest €350,000 but then also have to make a donation of €2,000, a government contribution of €28,000 and pay the €40,000 administration fee, meaning that’s €70,000 that you will not get back.

  Renting for 5 years in the south of Malta or Gozo Renting for 5 years in the north or center of Malta Buying in the south of Malta or Gozo Buying in the north or center of Malta
Real estate €50,000 €60,000 €300,000 €350,000
Administration fee €40,000 €40,000 €40,000 €40,000
Minimum capital contribution €58,000 €58,000 €28,000 €28,000
Donation €2,000 €2,000 €2,000 €2,000
Total capital outlay €150,000 €160,000 €370,000 €420,000
Total non-refundable costs €150,000 €160,000 €70,000 €70,000

In contrast, Portugal and Greece primarily focus on investments without any capital contributions or donations—either in investment funds, or with Greece you can also qualify by investing in real estate. In this case, your capital is generally preserved and could appreciate over time.

So if you feel that the large government contributions don’t seem worth it, it may be worth it to explore those programs instead.

In Malta’s defense, Portugal and Greece also have relatively high application fees, and will also require you to renew your application and pay similar fees again. Malta’s residency program will give you indefinite rights to reside there with no renewals required.

Another significant benefit of the Maltese program is that you don’t need to make your investment until after you have received approval in principle.

Inclusion of Family Members

The MPRP also allows for the inclusion of family members in the application. The following family members can be included:

  • Spouse or Partner: Your spouse or partner in a recognized relationship can be included in your application at no additional cost.
  • Children: Financially dependent children (of any age) that are still unmarried can be part of the initial application at no additional cost. If they later get married (or equivalent), then their spouse and potentially also children can be added to the same permanent residence title for an additional fee.
  • Parents and Grandparents: Dependent parents or grandparents of the main applicant or their spouse, aged 55 or older, can also be included. The cost of including parents or grandparents is €7,500 each.

Note that while it’s free to include your spouse and children on the initial application, if you were to add them later on there would be additional due diligence fees charged.

For any dependents added after the initial residence certificate has been issued, these are the relevant fees:

  • Parents and grandparents: still €7,500 each
  • Spouse of main applicant (who were not included previously): €7,500 each
  • Children-in-law (i.e spouses of children who were already included while they were single): €7,500 each
  • Adult children of the main applicant or spouse (who were not included previously): €5,000 each
  • Grandchildren (i.e. the child of previously dependent children already included on the residence certificate): €5,000 each
  • Minor children of the main applicant or spouse: Free of charge
  • Adult children of the main applicant or spouse with a certified disability: Free of charge

It’s important to stress that the children of the main applicant or their spouse need to be unmarried and financially dependent on their parents to be included on the permit.

For that reason, no children-in-law or grandchildren are allowed on the initial application. These can only be added later on if the life circumstances of the main applicant/spouse’s direct children changes (i.e. they get married or have children of their own).

Non-Eligible Nationalities

Certain nationalities are currently ineligible to apply for Maltese citizenship through the Residency by Investment program. Specifically, individuals from Russia, Belarus, Afghanistan, Iran, and North Korea are excluded from participation. Additionally, this restriction extends to applicants who maintain significant connections or ties to any of these nations.

Note that the list of ineligible countries can occasionally be revised. For example, Russia and Belarus were made ineligible as of 2022.

Application Process

Applying for the Malta Permanent Residence Program involves several steps and procedures. The process is designed to ensure that all applicants meet the stringent requirements set forth by the Maltese government. Below, we provide a simplified breakdown of the key stages involved in the application process:

  1. Submit residency application: Submitting your application for Maltese residency. You will be required to meet the eligibility criteria, gather the necessary documentation, and pay the first €10,000 of the administration fees.
  2. Pay initial fees: The first €10,000 of the administration fees are due within one month of your application submission.
  3. Receiving approval in principle: Around 7 to 12 months after the submission of your complete application you can expect to receive your Letter of Approval in Principle (LAP).
  4. Settle the administration fee balance: You will need to settle the remaining administration fee of €30,000 within two months of receiving approval in principle.
  5. Make investments and contributions: Within 8 months after your approval in principle, you will need to fulfill the investment requirements, which involve purchasing or leasing property, making the appropriate government contributions (€28,000 or €58,000, plus additional €7,500 for each parent/grandparent), and donating €2,000 to a Maltese NGO. You will also need to sign up for qualifying health insurance for all applicants.
  6. Submission of final proofs: Submit documentation showing that all investment and other requirements have been met.
  7. Biometrics: Before you are issued your residency cards, you’ll need to submit your biometric data in person at the Residency Malta AgencyIdentity Malta offices. This can take place at any point after you receive approval in principle (before or after making your investments).
  8. Issuance of permanent residence certificate and cards: Once the investment and compliance criteria are met, you will be issued a Maltese permanent residence certificate, allowing you and your dependents to live in Malta with all the associated benefits.

For a more detailed breakdown of each step what it entails:

Step 0: Hire a Licensed Agent

The first essential step in the Malta Permanent Residence Program (MPRP) before you can start the application process is to engage a licensed agent. The Maltese government requires all applicants to use an authorized agent who will represent them throughout the entire procedure.

Selecting a reputable agent is crucial, as approval rates can vary significantly between different agents. Experienced agents handle the majority of applications and have the expertise to navigate potential pitfalls and issues effectively.

To ensure a smooth process, it’s recommended to choose an agent with a proven track record of successfully managing similar applications. You can consult the official list of licensed agents, but it’s wise to verify their experience in handling residency by investment applications before proceeding.

Since the choice of agent can have a significant impact on your application process and eventual approval, I’d recommend choosing your agent wisely. We personally have good experience working with CCLEX (license number AKM-ACCA), which you can contact below:

Learn more about CCLEX

Step 1: Submission of Residency Application

The first formal step in the Malta Permanent Residence Program (MPRP) involves the submission of your residency application. Guided by your licensed agent, this stage requires you to gather and submit all necessary documentation to establish your eligibility for the program.

The following documents are always required:

  • Cover letter: Introduction by the licensed agent.
  • Power of attorney: Authorizes the agent to act on behalf of the applicant.
  • Application forms (MPRP 1, 2, 3, and 10): Includes general application, personal details, medical report, and GDPR declaration.
  • Identification documents (Passports, birth certificates): Certified true copies of all relevant pages and certificates for the main applicant and dependents.
  • Police conduct certificates: From countries of origin and residence for applicants aged 14 and over.
  • Proof of residential address: Utility bill, bank statement, or residence certificate, not older than 6 months.

In addition, depending on your circumstances you may also need to supply the following:

  • Custody/guardianship documents (verification, court awards): If a biological parent not in the application shares custody, or if there is a court ruling on custody.
  • Name, marital status, and military records (change of name, marriage, divorce, military records): Certified documents for name changes, marital history, and military service.
  • Proof of employment or business ownership: Evidence like contracts, payslips, or business registration documents.
  • Affidavit of dependency: For dependents over 18 years confirming reliance on the Main Applicant.

While this might seem overwhelming at first, don’t worry, your agent will guide you through everything.

Financial Eligibility

To qualify for the program, you must show proof of having assets worth at least €500,000, with a minimum of €150,000 in financial assets. This figure is not including any investments made towards the permanent residence program. In other words, if you were to buy a property to qualify, you would need to show that you still have €500,000 in assets in addition to this.

Once all documents are in order, your agent will submit your application for review.

At this stage the government will conduct their due diligence process, and carefully assess your submission and eligibility. If anything is deemed to be missing or unclear, the Residence Malta Agency will request additional documentation or clarification, which will add to the processing time.

Step 2: Pay Initial Administrative Fees

After submission, you will also be required to pay the first €10,000 administrative fee that covers processing and due diligence. The deadline for payment is one month after application submission and it’s important to note that this fee is non-refundable, even in the case of a rejection.

Your agent will receive the payment instructions from the Residence Malta Agency upon submission of the application pack, and the fee needs to be paid directly from the bank account specified on your submitted Form MPRP 2.

Step 3: Receiving Approval in Principle

Once the government has conducted their review, they will either issue a rejection or (hopefully) a Letter of Approval in Principle (LAP). Typically, you should expect to receive this between 7-12 months from the time your application was submitted to the Residence Malta Agency.

Step 4: Settle the Administration Fee Balance

Within two months of receiving your approval in principle, you’ll need to settle the remaining €30,000 of the administrative fee.

This fee again needs to be made from the bank account specified on your application.

Step 5: Make investments and contributions

After receiving your letter of approval in principle, you have eight months to fulfill the investment and donation requirements.

At this stage, you must decide whether to buy or rent property to qualify, and whether to choose the lower thresholds in the South of Malta or Gozo, or opt for real estate located in the rest of the main island.

You’ll then need to pay the appropriate monetary contribution (€28,000 if purchasing property or €58,000 if renting) plus an additional €7,500 per parent or grandparent included in the application.

Step 6: Submission of Final Proofs

Once you have rented or purchased the required property, as well as made all required contributions, and have signed up for qualifying health insurance, your agent will submit proof of this.

These are the items needed:

  • A certified proof of donation to a local NGO
  • Health insurance policy
  • Proof of qualifying purchased or rented property (deed, lease, rental declaration etc.)
  • Final contribution fee
  • Passports—a copy of all pages with apostille

Step 7: Visit Malta to Submit Biometric Data

You and your fellow applicants may travel to Malta to submit your biometric data (meaning fingerprints, ID photo, and your signature) to the Residence Malta Agency at any point after receiving the approval in principle—either before or after completing the investment and other requirements.

Appointments are typically given out per family, so it’s best if your family visits Malta together, if possible. The wait for an appointment is generally quite short (a matter of a few days or weeks).

Not submitting your biometric data will not get in the way of you receiving the permanent residence certificate, however you will only receive your residence cards after you have completed this step.

Step 8: Issuance of Permanent Residence Certificate and Cards

After submission of the final documentation, the Residence Malta Agency will verify it and if all is good, issue the permanent residence certificate. Once the agency has verified that all is in order, you can expect to receive your residence certificate within approximately seven days.

For the residence cards, it typically takes two weeks provided you have already completed your in-person biometrics.

Annual Compliance

Once you have received your residence cards and certificate, you will still need to adhere to annual compliance report submissions to make sure you are still qualifying for the program. This includes proof that:

  • The main applicant still holds €500,000 in assets
  • The qualifying real estate is still owned/rented by the main applicant by presenting an up-to-date lease agreement or deed.
  • The main applicant and family members still hold valid health insurance coverage.

Note that the initial residence card lasts five years and can be renewed every five years thereafter.

After the first five years of residency, you will no longer have to hold onto your investment or rent at the required amount, thus the annual compliance checks will also no longer be necessary.

However, in order to renew your residence card you need to be renting or owning some kind of residential property in Malta, but there’s no minimum rental or purchase amount required. You also no longer need to demonstrate the €500,000 in assets.

Frequently Asked Questions about the Malta Permanent Residence Program

FAQs ↺

Can I work or start a business in Malta with the MPRP?

Yes, the MPRP allows you to live, work, and study in Malta. You can start a business or seek employment, enjoying the same rights as other residents of Malta.

Is it mandatory to live in Malta after obtaining permanent residency through the MPRP?

No, the MPRP does not require you to live in Malta full-time. However, you must maintain your qualifying investment (property ownership or rental) for at least five years.

What if I later want to consider Maltese citizenship, is that possible?

Yes, it is possible to apply for Maltese citizenship by naturalization after residing in Malta for at least five of the last seven years. According to the law, you need to show that you have resided continuously in Malta throughout the 12 months immediately before the date of your application and for four out of the preceding six years. There is no set period of time per year that you need to spend in Malta but ultimately the Minister in charge of the applications has the final say on who gets approved for citizenship.

Factors like having a permanent residence, such as owning a property instead of renting, establishing a business, and integrating into the local community (e.g. sending children to school in Malta), can also influence the decision.

In practice, just meeting the minimum residency requirements will far from guarantee that you will be granted citizenship. In current practice, the ministry usually only grants citizenship for those that have lived in Malta for close to 15-20 years.

The good news is that unlike other countries’ citizenship eligibility requirements, Malta has no language requirement beyond a reasonable level of English (or Maltese) skills.

Malta’s Citizenship by Direct Investment program (MEIN) may be an option to explore if you can afford it, as it allows you to shorten the residency requirement to as little as one year (in which you don’t need to live full-time in Malta). Although this comes with much higher investment and contribution requirements.

Can I switch from renting to buying a property after obtaining residency, or vice versa?

During the first five years you are able to switch from renting to buying a qualifying property, however you cannot switch from buying to renting as paying the lower €28,000 amount in government contributions only allows you to purchase a qualifying property.

After maintaining residency for five years, you are free to change your real estate situation as you wish, but you need to maintain some form of residential property in order to renew your residence card. Your permanent residence status remains unaffected even if you don’t maintain a property in Malta.

Do I need to buy or lease a property in Malta during the application stage?

No, you do not need to make a real estate investment during the initial application stage. You have up to eight months from the date of issue of the Letter of Approval in Principle to complete your property purchase or lease.

Will my Malta residence certificate and the residence card expire?

The Malta permanent residence certificate does not expire as long as you comply with the requirements of the program. However, the residence card is valid for five years (shorter for dependents turning 14 or 18 during the next five years). After this period, you can renew it. A fee of €27.50 per year of validity is payable for each individual when being issued or renewing the Malta residence card, meaning a five-year card costs €137.50.

Do MPRP participants qualify for Malta’s generous non-domiciled tax status?

Yes, applying for the Malta Permanent Residence Program will not preclude you from benefiting from the non-dom status where you only pay tax on income remitted to Malta if you wish.

There’s no requirement to become a tax resident of Malta by participating in the MPRP.

What is the difference between Malta’s Permanent Residence Program (MPRP) and the Global Residence Program (GRP)?

The Global Residence Program is a type of residence permit which additionally grants a special tax status to its beneficiaries where they only pay a 15% flat rate on foreign income remitted to Malta. The program is not available to permanent residents, and hence is not possible to combine with the MPRP.

In contrast, the MPRP offers a pathway to permanent residency based on a combination of financial contributions and property investments. While residency under the MPRP is valid for life, as long as the required conditions are met, the GRP requires annual renewal, with a minimum annual tax payment of €15,000. Unlike the GRP, the MPRP doesn’t involve any special tax benefits (beyond the regular remittance basis of taxation for non-domiciled residents) or mandatory annual tax payments.

There’s another program whose name is confusingly similar to the GRP, which is simply called The Residence Program (TRP). The main difference between the GRP and TRP is that the latter is available only to EU/EEA/Swiss residents, while the former is available to everyone else.

How long is the wait time for an in-person biometrics appointment?

Biometrics appointments are typically available on short notice (less than a week), but can also be booked several months in advance if you prefer.

You can view the availability calendar here, but note that only your licensed agent is allowed to book the appointment.

Unanswered questions?

If you still have questions about the article or the MPRP program, please post them in our Malta forum.

If you are ready to move forward, contact CCLEX or another licensed agent for assistance and legal advice.

The usual disclaimer: Nothing in this article should be considered legal or investment advice. It is merely a best effort representation of the information I have gathered through countless hours of online and offline research into the subject. If you want definitive answers to specific questions, please consult your lawyer. If you don’t yet have a lawyer, click here to see the most popular law firms among our readers.

Cover image credit: Nomad Gate. License image for free.