An investor in the equity of a company is considered the founder of a SIA (limited liability company) or AS (joint-stock company). The amounts of investment in corporate equity specified in the Immigration Law of the Republic of Latvia provide access to a temporary residence permit (including one’s spouse, underage children from any marriages, and dependents). An equity investor should make their equity contribution to a SIA or AS via cashless settlement (bank transfer). They should have access to a guaranteed cost of living applicable within the territory of Latvia, which is equal to three times the minimum (gross) salary specified in Latvia at the time of filing the application. An equity investor is entitled to annual extension of their residence permit.
An investor in the subordinated capital of a bank may, given conformance with relevant requirements, be eligible for a residence permit in Latvia (including their spouse, underage children from any marriages, and dependents). The minimum amount of financial investment in the capital of a bank is EUR 280,000, although the investment in the subordinated capital of a bank may be made in a different currency, where the value of the investment is no less than the equivalent of EUR 280,000. The investment agreement term must be no less than 5 years. Financial investment in subordinated deposits carries an increased degree of risk, e.g. in the event of insolvency or liquidation of the relevant bank – where the investor is not eligible for compensation from the Deposit Guarantee Fund.
An investor in sovereign bonds may receive a residence permit in Latvia (including one’s spouse, underage children from any marriages, and dependents). An investment in sovereign bonds totalling no less than EUR 250,000, plus the contribution of EUR 38,000 to the state budget of Latvia, makes foreign nationals eligible for a residence permit in Latvia for a period of no more than 5 years under the applicable immigration regulations. This option carries a number of undeniable advantages – for instance, an investor in sovereign bonds receives a residence permit for 5 years with no annual extension requirement. They must, however, maintain an adequate cost of living, which is calculated for a term of 5 years outright. The calculation formula is based on triple the minimum labour remuneration (gross amount) specified in Latvia at the time of the application.
