Potential Termination of Luxembourg's Golden Visa Program: What It Means for Investors

Government reviewing investor visa program amid EU pressure

Luxembourg is considering terminating its Golden Visa Program, which grants residency to non-EU investors.

The Home Affairs Ministry stated that the program is currently under review, as it has not attracted significant interest.

Only six applications were submitted between 2023 and 2024, with four of them rejected.

The EU is increasing pressure on countries to phase out residency and citizenship-by-investment programs due to concerns about money laundering and security risks.

How Does Luxembourg’s Golden Visa Work?

Currently, the program offers two options for wealthy non-EU applicants:

1) €500,000 investment – applicants can invest in Luxembourg’s economy, including business creation, financial assets, or real estate.
2) Residence by Private Reasons – applicants must earn at least €27,000 per year and prove financial independence.

Once approved, applicants receive a temporary five-year residence permit, which can later become permanent residency.

Low Demand May Lead to Program Termination

Since its launch, the Golden Visa Program has failed to attract large numbers of investors.

According to a 2018 European Commission report, only six people obtained the visa in the first year – one Australian and five Chinese nationals.
Between 2018 and 2023, only three additional people were granted residency through this scheme.

Despite this, in 2023, Luxembourg's government stated that ending the program was not a priority. However, the latest review suggests that the scheme may soon be abolished.

EU Pressures Member States to Abandon Golden Visa Programs

The European Union has increased efforts to ban residency-by-investment schemes, citing concerns over money laundering and security risks.

Spain announced that it will abolish its Golden Visa Program on April 3, 2025, due to its negative impact on the housing market.

Portugal scrapped its most popular investment route in 2023, which granted residency in exchange for €500,000 property investments.

Given these developments, Luxembourg could be next in line to end its investor visa program.