Four months into his tenure as Chairman of the Vanuatu National Citizenship Commission, Ronald Warsal (pictured) has plenty of reason to smile; the Ministry of Finance and Treasury’s half-year revenue report shows CBI-related revenue during the six-month period that ended on June 30th was the highest ever recorded, at Vt7.01 billion, or about US$62.6 million.
That amounts to a 32% improvement over the Vt5.36 billion raised during the first half of last year. Warsal also divulged to the Vanuatu Daily Post that by Aug 14th (halfway through Q3), combined revenue from the country’s two CIPs so far in 2020 had risen to Vt 9.6 billion (US$84.6m), which means Warsal’s Commission has already raised the equivalent of 80% of last year’s total (US$105.4m) with four and a half months still left of the year.
Should the trend continue apace, Vanuatu will end up raising another US$52 million before the year is over, bringing the total to nearly US$137 million, no mean feat for a country whose borders have been closed since March and which will remain closed until at least the end of this year (Vanuatu remains entirely COVID free, with no recorded cases).
While the Treasury publishes regular reports detailing the government’s revenue sources, including CBI-revenue, the Vanuatu Citizenship Commission does not publish statistics on CBI-applications. Assuming, however, that an average application consists of a married couple with one child (which would yield a direct government contribution of US$115,000), Vanuatu would have approved about 735 applications since the beginning of the year.
That estimate, as it turns out, may yet be conservative. Chairman Warsal has now confirmed that the Commission has approved more than 100 applications each month this year.
He has previously indicated that the program will soon give applicants more ways in which to qualify for citizenship, beyond the simple contribution, hinting at the introduction of a real estate option. This week, he told Vanuatu’s Daily Post that he would introduce “two additional programs” (presumably he means additional options).
Questions also remain regarding the future of the Vanuatu Contribution Program, a citizenship by investment program exclusively operated by PRG Group in Hong Kong, which since 2017 has coexisted with the Vanuatu Development Support Program (which now has 87 designated agents).
Want to know more about the Vanuatu CIP? To see recent statistics, official links, FAQs, and more, please visit its Program Page. To see which firms can assist with applications to the program, please visit the Residence & Citizenship by Investment Company Directory.
Image courtesy of Daily Post.
Christian Henrik Nesheim is the founder and editor of Investment Migration Insider, the #1 magazine – online or offline – for residency and citizenship by investment. He is an internationally recognized expert, speaker, documentary producer, and writer on the subject of investment migration, whose work is cited in the Economist, Bloomberg, Fortune, Forbes, Newsweek, and Business Insider. Norwegian by birth, Christian has spent the last 14 years in the United States, China, and Spain.