Singapore has become a global hub for businesses. The country’s business-friendly policies, immigration policies, and social and security stability have been touted as some of the best in the world and have attracted thousands of wealthy investors, businesspeople, and firm owners to its land. It is probably for this reason that the country introduced the Singapore Global Investor Programme (GIP) in 2004, a perfect platform for a non-Singaporean individual to make the city-state their home.
What is the Global Investor Programme?
A permanent residence programme, the GIP, is an opportunity specifically for investors from outside Singapore—who wish to establish a business in Singapore and shift home to the country—to get a Singapore Permanent Residence (PR) for themselves and their families through a golden visa.
According to the Economic Development Board (EDB) of Singapore, GIP grants permanent residency to global investors who have a verifiable entrepreneurial background of 3 years in business to qualify for it. Like any government procedure, the structure of the steps required to apply for the GIP is complex. However, if one is keen on investing in a country and starting a venture with credible skills, then this scheme, also known as the investor scheme, proves to be extremely useful as the investment so created would generate spin-offs and create massive employment.
What do you need to get the Golden Visa?
Guide Me Singapore, Hawksford outlines a few essentials for someone to apply for the GIP.
- The investor must have at least three years of experience in entrepreneurship and business.
- The investor should be running a company that churns out an annual turnover of at least $200 million in Singaporean dollars in the year before the application was placed.
- The investor should not be charged with any crimes, be embroiled in any legal matters, and so on.
All said and done, there are specifics to tangible numbers that either make the investor get or lose the opportunity to own the golden visa. Initially, foreign investors were required to invest $2.5 million in a startup or existing company. However, the digits have been revised after March 15, 2023. Now, investors are required to put $10 million into a company or $25 million into an approved GIP fund.
What does Singapore’s Golden Visa offer?
The Golden Visa offers investors permanent residence for their families as well as permanent citizenship in Singapore. But a closer look into the programme shows that there is so much more to it than what’s commonly explained about it on sites online.
- For one, both the spouse and children (below the age of 21) of the investor are permitted to apply for permanent residency together.
- There is also access to the best business opportunities at some of the biggest firms and establishments in the country.
- There is freedom to make use of the best education and health benefits in the country.
- The luxury of doing business in one of the most business-friendly countries in the world comes along as an icing on the cake when one obtains the visa. Singapore has a transparent legal system, extremely low corruption rates, and a business environment that allows newcomers and founders to easily and comfortably launch their businesses.
- Investors also enjoy tax perks that include incentives for businesses. Tax relief is available to Singapore permanent residents where a leeway on their tax liabilities is available under certain terms. The system is believed to offer various deductions to citizens, offering them a chance to maximise their savings.
- Furthermore, investors who have been accepted into the GIP have a wide range of industries to tread into, some of which include engineering, health, travel, information and technology, electronics, marine, and a lot more.
- Investors also enjoy a greater sense of flexibility in terms of visas, family, and careers. They have greater liberty to travel in and out of the country without any extra visas.
- Setting base in a country far away from one’s homeland is a dream, and through the GIP, Singapore promises easy and comfortable housing to its investors. Here, eligible candidates are granted the opportunity to purchase public housing under a scheme called the Housing Development Board (HDB) scheme. This permits them to own a home in the country at prices more affordable than in private markets.
- Additionally, becoming a Singapore permanent resident is a key step on the road to citizenship, as this comes with perks such as access to government programmes and the right to vote in elections.
All that being said, it’s important to alert oneself to the flip side of the programme as well. Like any new and expensive plan introduced, the GIP comes with its own share of downsides.
- For one, since Singapore has a smaller population, the demand for permanent residency through the golden visa is constantly high. This can make the application process tedious and tiring.
- If at all an individual wishes to renounce their permanent residency status, then the entire process of reclaiming the status in the future could be challenging and almost impossible.
- Singapore has a mandate that all male citizens enrol themselves in National Service (NS) responsibilities, and citizens that enter the country hoping for permanent residency are not exempt from this rule. All healthy male residents of the second generation—or children who receive permanent residency through their parents—must fulfil their National Service (NS) obligations just like citizens. Once they reach the required age, they must go through a set period of instruction.
- The permanent residency status itself is not permanent, as it turns out, according to some sources. If at all the employer of the business or enterprise posts the candidate at a position abroad or if, due to some reason, the investor is required to leave the country for a long period of time, then they can lose their permanent residency status.
While the change in the programme in recent days might seem like a drawback, Singapore has, over the years, been attracting a fair number of overseas investors and businesspeople to its lands through the golden visa, and the reason for this could be the wide range of opportunities it offers. While the programme has its own share of advantages and downsides, it is a one-shot beneficial way for a non-Singaporean to lead a life and enjoy business in one of the world’s largest financial and global markets.
- The new GIP plan states that for one to acquire permanent residency in Singapore through the visa, they are required to comply with one of the three options:
- Invest at least $10 million in a business in Singapore.
- Invest at least $25 million into a GIP-approved fund.
- Start a Singapore-based family office with at least $200 million in assets.
- The entire procedure to gain permanent residency takes around 9–12 months.
- Under this programme, the spouse and children (under 21 years of age) of the investor are eligible to apply for residence.
- All male children, like Singapore nationals, are required to apply for national service.
- Apac Trust (https://www.apactrust.com/global-investor-programme/#::text=The%20Global% 20Investor%20Programme% 20(GIP, doing% 20business% 2C%20and% 20tax% 20benefits
- IASG Immigration (https://iasg.com.sg/advantages-and-disadvantages-of-getting-singapore-pr/)
- One Visa (https://www.one-visa.com/singapore-visa-resources/singapore-global-investor-programme-gip/)
- EPICA Immigration (https://www.epicaimmigration.com.sg/articles/singapore-PR-disadvantages.php) https://www.epicaimmigration.com.sg/articles/singapore-pr-disadvantages.php )
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