Argentina plans "golden passport" scheme to attract foreign investment

Argentina is preparing to launch a citizenship-by-investment programme later this year, offering foreign investors a path to citizenship in exchange for major financial contributions as the government seeks new sources of funding to help repay its debt.

According to people familiar with the plans, applicants could qualify by making a non-refundable donation of about $500,000 or purchasing around $1 million in zero-coupon Argentine government bonds. The details are still being finalised, the Financial Times reports.

The initiative is part of President Javier Milei's efforts to attract foreign capital as Argentina faces significant debt repayments and remains largely shut out of international capital markets following its 2020 debt restructuring.

If implemented, Argentina would become one of the largest countries to offer citizenship through investment, with a passport providing visa-free access to nearly 170 destinations.

The proposal follows reforms to Argentina's citizenship rules introduced last year, although the changes are facing legal challenges from critics who argue the country's constitution gives Congress authority over citizenship laws.

Supporters say the programme could make Argentina more attractive to wealthy individuals seeking greater mobility and a stable base outside geopolitical hotspots.

"There is simply nothing else like Argentina in the citizenship-by-investment market," said Eric Major, chief executive of consultancy Latitude Group, which advised the government on the scheme.

However, the proposal has drawn criticism from legal experts and transparency advocates, who warn that citizenship-by-investment programmes can create security and governance risks.

Paula Carello, an immigration lawyer and former official at Argentina's citizenship office, said the "many risks" associated with the scheme "outweigh the benefits for a country of its size and profile."

"Given it affects central aspects of nationality and citizenship, it is worrying that an initiative of this magnitude is moving forward without a broader political, academic and institutional debate," she added.

By Sabina Mammadli