Let me start by saying that yes, I know the Portugal ARI/GV is not the same as Malta’s “citizenship by investment” programme.
But today’s ECJ ruling is a reminder that the EU is not a huge fan of “investment migration” in general. Were PT to move the goalposts on citizenship for GVs and increase what’s required for “meaningful connections between applicants” and PT, I suspect the EU would be very much in favour.
The ruling compels Malta to terminate its citizenship by investment program entirely, fulfilling the Commission’s original demand when it first sent a formal notice to Malta in October 2020. Malta now remains the only EU member state with such a program after Cyprus suspended its program in November 2020 and Bulgaria abolished its programin April 2022.
The decision limits member states’ discretion in nationality matters when they affect the collective value of EU citizenship.
This decision carries considerable implications for investment migration across Europe. EU citizenship automatically confers rights to free movement, access to the internal market, and voting rights in European elections—privileges that, according to the court, require more than just financial means.
The victory for the Commission comes nearly three years after it first referred the case to the ECJ in September 2022. The Commission maintained that “granting EU citizenship in return for pre-determined payments or investments without any genuine link to the Member State concerned is not compatible with the principle of sincere cooperation.”
The ruling sets a legal precedent that investment-based citizenship programs cannot operate within the EU legal framework without establishing meaningful connections between applicants and the naturalizing state. It clarifies the balance between EU oversight and national sovereignty in citizenship matters.