From March 1, Singapore will let a wider group of wealthy foreigners apply for permanent residence through its Global Investor Programme. Until now only established business owners and entrepreneurs could.
The programme dates to 2004. It is run through Contact Singapore, a division of the Economic Development Board, and the basic entry price is an investment of S$2.5 million (about US$1.79 million). The revision adds next-generation business owners, founders of fast-growing companies in certain industries, and principals of family offices.
Contact Singapore director Matthew Lee said the revised scheme would fit changes in the global economy better. New business opportunities in recent years, he said, have produced a new breed of investors and entrepreneurs. Family-office applicants are expected to help strengthen the banking and finance sector.
Four ways in
An applicant has to clear one of four thresholds. For established business owners, the company needs annual turnover of S$200 million, up from S$50 million before, plus at least three years of proven business record and a stake of 30 percent or more.
Next-generation owners need a business with annual turnover of S$500 million, with an immediate family member holding 30 percent. Founders of fast-growing companies must be the largest individual shareholder, with the company valued at S$500 million or more and backed by reputable venture capital or private equity firms.
The fourth route is for family offices. The individual must hold net investable assets of at least S$200 million, count bank deposits, financial assets and other investment schemes toward that figure, and have five years of entrepreneurial, management or investment record.
Business-based applicants must also operate in an eligible industry. Consumer business, information and communication products and services, and natural resources such as metals and mining are among those listed.
Where the money goes
Applicants then pick an investment option, each at S$2.5 million. Option A puts the money in a new or existing Singapore business. Option B is a GIP-approved fund that invests in Singapore-based companies. Option C is new: a new or existing Singapore single-family office. Each route needs a five-year business or investment plan, and the family-office plan has to include employment and financial projections.
The process runs through the Economic Development Board and the Immigration and Checkpoints Authority. If an application passes, the authority issues an Approval-in-Principal valid for six months, and the applicant must make the investment in that window. After the board verifies the evidence, a final approval letter follows, and PR must be formalized within 12 months of it.
Singapore says it wants high-value companies that create jobs. By 2030, professionals, managers, executives and technicians are expected to make up two-thirds of the workforce.
Sources
- Singapore revises PR scheme to attract investors, entrepreneurs
- Singapore Revises PR Scheme: Courting Investments
- Singapore revises PR scheme to attract more foreign investors
Sources
- Singapore revises PR scheme to attract investors, entrepreneurs
- Singapore Revises PR Scheme: Courting Investments
