The idea is a swerve on the concept of citizenship/residency-by-investment programs that operate worldwide.

US President Donald Trump yesterday suggested replacing a visa program for foreign investors with a so-called "gold card" that could be bought for $5 million as a route to citizenship, media reports said. The idea was welcomed by people working in the citizenship/residency-by-investment industry, now a global business.

Trump was quoted by reporters saying that he will replace the "EB-5" immigrant investor visa program, which allows foreign investors with large sums of money that create or preserve US jobs to become permanent residents, with a so-called "gold card." 

The EB-5 program grants "green cards" to foreigners promising to invest in US businesses. It is one of scores of such programs used by countries to grant citizenship/residency in exchange for investment. These “golden visas,” as they are sometimes dubbed, are politically controversial. They have been blamed at times for inflating real estate prices, as well as favoring wealthy individuals over other citizens. Defenders say they attract inward investment from entrepreneurs. 

"We are going to be selling a gold card," Trump was quoted as saying. "We are going to be putting a price on that card of about $5 million," he added. 

"It's going to give you green card privileges plus it is going to be a route to (American) citizenship, and wealthy people would be coming into our country by buying this card," Trump said. He said further details will emerge in two weeks. 

Trump added it is possible that Russian oligarchs could qualify for the gold cards, when asked by a journalist if those people would be eligible. "Yeah, possibly. Hey. I know some Russian oligarchs that are very nice people," he was quoted by Reuters as saying. 

Under the EB-5 program, to be eligible, one must put up at least $800,000; processing time can take anywhere between 12 months to three years. A person is eligible for citizenship after five years of legal residence. Canada operates a startup visa program, and there is also an investor program in Quebec. Countries can sometimes suspend their golden visas, as the UK and Spain have done, in response to political pressure. On the other hand, these schemes can be halted if they are deemed to have served their purpose in attracting investment. Not all programs are aimed at high net worth individuals. Some, such as the UK’s Innovator Founder Visa, are pitched at builders of business startups. There are also “digital nomad” visas that are part of the remote-working trend enabled by the internet and (relatively) cheap travel.   

Advising on these progams is a money spinner. A cluster of specialist consultancies have been operating as demand grows. Examples include Bartra Wealth Advisors, Henley & Partners and Apex Capital Partners. An umbrella group – the Investment Migration Council (IMC) – now operates to spread best practice ideas, lobbying for schemes, and interacting with policymakers. 

Henley & Partners welcomed Trump's idea.

"The US remains the undisputed leader in private wealth creation and accumulation, and we welcome the US government’s progressive approach to providing access to citizenship via investment. As our USA Wealth Report points out, the US accounts for 32 per cent of global liquid investible wealth – a colossal $67 trillion. The country is also home to 37 per cent of the world’s millionaires. We have long advocated for investment migration programs that balance investor benefits with national economic growth, and the introduction of the gold card program is an exciting development, reaffirming the US as a leading destination for global investors while ensuring a more strategic and beneficial framework for both wealthy migrants and the American economy," Dominic Volek, group head of private clients, Henley & Partners, said. 

Bruno L’ecuyer FIMC, co-founder and CEO of the IMC, told this publication when asked about Trump's idea said that it was an "opening bid" and to succeed, would require approval from Congress.

"Trump recognizes EB-5’s economic value and sees an opportunity to target ultra-high net worth individuals with a new visa category. His real estate business has in the past benefited from EB-5 money. According to my sources, the gold card visa would be a separate track designed to attract the ultra-wealthy, potentially offering perks like exemptions from worldwide income taxation. If implemented, it could coexist alongside EB-5, creating an alternative pathway for high net worth investors rather than replacing the existing program," he said.

"Despite his announcement, Trump cannot unilaterally terminate EB-5. Under the Constitution, Congress controls immigration law, a principle upheld by the Supreme Court. Additionally, USCIS (not the White House) oversees EB-5 processing and adjudication. While the president can influence immigration enforcement, an executive order ending EB-5 would face immediate legal challenges. Rather than eliminating EB-5, Trump’s proposal appears to be an effort to expand and rebrand investment immigration. His administration may advocate for a dual-track system: maintaining EB-5 for job creation while introducing the gold card visa for ultra-wealthy investors," L'ecuyer added.