North Macedonia Citizenship by Investment

The North Macedonian citizenship by investment programme consists of two distinct methods for obtaining citizenship: donation and investment. The investment route cannot be considered a true citizenship by investment programme (similar to the Carribean CBI programmes) as it is discretionary. 

Despite being available for some years, there is no evidence that any person has been granted citizenship through the donation route, although there have been suggestions that some pre-approvals granted under this method have not yet been completed (although this was back in 2021). 

Citizenship brings a North Macedonian passport with visa-free or visa-on-arrival access to around 120 countries, including the European Schengen zone, Japan and China.

North Macedonia is also a candidate country for membership of the European Union. This status has existed since 2005 but it has been a rocky road due to disputes over the country’s name with Greece and historic political issues with its neighbour and EU member Bulgaria and formal accession talks only began in 2022.

If North Macedonia joins the European Union, its passport will become considerably more attractive but the outcome of accession talks and the timeline for eventual accession is highly speculative.

The other main attractions for considering the North Macedonia citizenship by investment programme are the geographical location, favourable tax regime, and lack of residency or language requirements.

What investment is required?

The North Macedonian citizenship program is, in reality two distinct programs and only one is truly a CBI program.

Since 2016, there has been a discretionary naturalisation process for individuals who invested at least EUR 400,000 in a new business, creating at least 10 jobs. As this is discretionary, it cannot be considered a CBI programme as such, but rather a guideline for what is required to gain favour for a positive exercise of discretion. There have been cases where this route appears to have been abused, and its discretionary nature means it is not the route for most applicants but remains a possibility for those wishing to invest in business in North Macedonia.

A new programme was introduced in 2021 under which an applicant can make a donation of EUR 200,000 to a government fund, which appears to be non-refundable and non-benefit bearing, so it is essentially a gift. However, the exact nature of this programme is unclear, and even its existence and/or legality have been questioned. At the time of writing, some sources suggest that the programme has been put on hold, and it seems clear that no applicant has been issued a passport under this programme, although there have been suggestions that a handful of applicants have been pre-approved subject to making the donation back in 2021.

What are the pros and cons of the North Macedonia CBI programme? 

Citizenship of North Macedonia brings access to a middle-income European company, which is reasonably well located for access to the rest of Europe and the Middle East. The main benefits of citizenship are:

• a favourable tax regime with a flat business and personal income tax rate of 10%, no taxation of foreign income if not tax resident and no wealth, capital gains or inheritance tax
• visa-free or visa-on-arrival access to around 120 countries, including Japan, China and the European Schengen zone
• no residency or language requirements
• ability to obtain citizenship for family members and automatic citizenship by descent for future children 

There is also the possibility that North Macedonia may join the European Union, which would bring all the benefits of EU citizenship, such as freedom of movement and the right to work throughout the EU. However, although formal accession talks began in 2022, there is no indication of when or if accession will take place.

The downsides are not inconsiderable. The government fees for applications are relatively high, at EUR 50,000 for the main applicant, EUR 20,000 for a spouse, and EUR 10,000 for each dependent child under 18. The processing time is longer than in some comparable programmes. However, the bigger concern is the lack of any history of the successful donation route and even suggestions that applications are not being considered, bringing into question whether the programme is actually in effect and creating uncertainty as to how applications will be treated. 

How long does the process take?

Processing times for the investment route have been typically around five months from time of application but given the negotiations required to obtain the discretionary approval, the realistic time from first discussions to approval is likely to be considerably longer.

As no passports have been issued under the CBI programme, the timings are unclear, but the general consensus is that it is likely to take around 6 months.

Can family members be included in the application?

The applicant’s spouse and dependent children under the age of 18 can be included in the application although the spouse will only be granted citizenship one year after the grant of citizenship to the main applicant.

Eligibility requirements

The main applicant must:

• be over 18
• have a clean criminal record
• have no history of illegal stay in North Macedonia
• be able to show good financial standing

Other costs of application

Government fees are EUR 50,000 for the main applicant, EUR 20,000 for a spouse and EUR 10,000 per dependent child. There will also be other incidental costs such as fees for obtaining the required documentation and courier fees.

Are there any residency requirements?

There are no minimum residency requirements to obtain or maintain an applicant’s citizenship.

Is Dual citizenship permitted in North Macedonia?

Dual citizenship is permitted in North Macedonia so an applicant may maintain their existing citizenship(s) provided those countries also permit dual citizenship.

Final Thoughts

North Macedonia’s citizenship by investment programme is in its infancy, despite some form of citizenship programme being in place since 2016. The investment route is essentially a guideline under which citizenship can be granted on a discretionary basis, as all countries are able to do without any programme being in place. There is a distinct lack of clarity on the relatively new donation route, with no successful applications and some uncertainty whether it even actually exists. The EU candidacy status of North Macedonia may attract some as, if it does accede to the EU, the passport will become considerably more valuable, but applicants making their decision on this basis are essentially gambling on the outcome of that highly uncertain process. For a similar total cost, the CBI programs in the Caribbean offer a broader range of destinations with visa-free or visa-on-arrival access and a potential return on investment along with the certainty that comes with well-established programmes.

Are there any residency or language requirements? 

No. Applicants are not required to spend any time in North Macedonia to obtain or maintain their citizenship, nor are they required to have any local language knowledge.

Can my family apply alongside me?

Yes, a spouse and children under the age of 18 can apply alongside the main applicant. The main applicant and dependents obtain citizenship immediately, but a spouse will only obtain citizenship one year after the grant to the main applicant.

Do I need to learn the language to obtain citizenship?

There are no language requirements.

What documents are required?

Along with proof of the source of the investment amount, the applicants will need to provide certified copies of birth certificates, all passports, medical certification, proof of financial standing and proof of a clean criminal record. Further documentation may be required at the discretion of the issuing authority.

Will North Macedonia join the EU?

North Macedonia has been a candidate for EU accession since 2005 and, after the resolution of various issues, entered formal accession talks in 2022. Whether accession will actually occur and, if so, when is unknown and is subject to many external factors.

Will the favourable tax regime apply to me?

This depends on tax residency, which is typically determined by where a person spends most of their time. North Macedonia will likely accept citizens as tax residents regardless of the time spent in the country, but countries in which the person spends the requisite time will likely also claim the person as a tax resident so, in practice, to take advantage of the tax regime a person would need to spend a considerable part of the relevant year in North Macedonia.

Do future children of successful applicants obtain North Macedonian citizenship?

Yes, as for all other citizens of North Macedonia, children born to applicants after citizenship has been granted will automatically be North Macedonian citizens.

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