Portugal Golden Visa Applicants Stuck in Limbo Use Legal Options

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(Bloomberg) — Tired of the cold winters in Canada, Renhai Wang packed his bags in 2021 and headed to Portugal to start a new life in Europe. 

But three years after sinking €350,000 ($380,000) into an apartment in Lisbon, the Chinese national is still waiting on Portugal’s immigration agency to decide about his status. The 50-year-old is among the thousands of people who applied for the country’s golden visa program, which promises investors a path to citizenship.

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He’s also among the hundreds now stuck in limbo as the country struggles to deal with a massive inflow of immigrants.  

“If I knew this would take so long, I wouldn’t have invested in Portugal,” Renhai said in a telephone interview from his home in downtown Lisbon. “There are other places where it’s easier to get a golden visa.” 

Greece, Spain and Italy are among the other EU countries that offer golden visas to non-European nationals.

Portugal’s Agency for Integration, Migration and Asylum is struggling with a backlog of more than 400,000 visa applications after a sharp rise in immigration following the Covid-19 pandemic and the start of the war in Ukraine. Since 2018, the foreign population in Portugal has more than doubled and is now at a record one million people – a tenth of the total population. 

In response, Renhai and other investors are taking legal action to force AIMA to meet a 90-day deadline on issuing decisions on residency applications, including golden visas.  

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While golden visa applications only account for a small fraction of the pending cases, the delays are tarnishing the image of one of the most popular residence-by-investment opportunities in Europe. The program, which only requires investors to spend an average of seven days per year in Portugal, has raised more than €7 billion since it was created in 2012 and is mostly popular with Chinese, Brazilian and American nationals. 

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Bettino Zanini, an immigration lawyer who has won several cases against the AIMA, says at least half of his 50 golden visa clients have sued the Portuguese state over processing delays. Diogo Capela, another Lisbon-based lawyer, estimates that 40 of his golden visa clients have also taken legal action.

“When successful, these lawsuits can force AIMA to issue a decision on a golden visa application in about three months instead of three years,” said Capela.

A spokesman for AIMA was not immediately available to comment. The immigration agency did not respond to several emails and calls requesting a comment.

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Laely Heron, an American winemaker, is also considering taking legal action to speed up a decision on her golden visa. The 60-year-old bought a property in Lisbon and applied for a golden visa in April 2023. She’s still waiting on the AIMA to collect her biometric data so her application can move forward.

“It’s not ideal to start your relationship with the Portuguese state by going to court,” Heron said as she ate lunch at a restaurant in Lisbon during a short trip to the Portuguese capital. “But it seems this may be my only way out.”

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To address the delays, Portugal’s parliament approved a proposal earlier this year that allows golden visa applicants to start the clock on the five years of residency needed to apply for citizenship on the day they submit their application — rather than when they receive their residency card. 

The government has also set up a task force to address the huge backlog of pending immigration cases. But Renhai fears the AIMA will look at other cases first rather than prioritize golden visa applications. 

“It’s not fair that those who have paid the most to get a residency permit seem to be the last in line to get their visa,” said Renhai. “I just want this nightmare to end.”

—With assistance from Joao Lima.

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