The move comes less than a year after a European Parliament report described the scheme as being excessively vulnerable to abuse, including tax avoidance.
The cash-for-visa-type programme allowed wealthy foreign investors outside the European Union (EU) to have residency in Ireland in return for making investments.
Applicants to the programme were required to have a personal wealth of at least €2 million, and were expected to donate at least €500,000 to philanthropic projects.
The scheme was set up in the aftermath of the post-2008 Irish banking crisis, which forced the country to seek an IMF bailout.
While the scheme did not immediately provide passports, investors and qualifying family members could apply for citizenship after five years of residency in Ireland.
Mr. Harris said that since its 2012 inception, the programme has approved massive investments in the Irish economy.
“Since its inception, the IIP has approved investment of almost €1.252 billion, which has benefited many enterprises, both economic and social, including community and sporting organisations,” Harris told Ireland’s senate on Tuesday.
Security Risk
Figures released by the Irish Department of Justice last year revealed that more than 1,500 Chinese millionaires had received residency in the past decade through the scheme, according to the Irish Independent.Minister Harris said he had taken into account studies by international bodies such as the European Commission in making the decision to shut down the scheme.
“However, it is important that we keep all programmes under review, including any implications for wider public policy, such as the continuing appropriateness and suitability of this programme for cultural, social, and economic use.
“We have also taken on board a number of reports and findings from international bodies such as the EU Commission, the Council of Europe and the OECD on similar investment programmes,” he said.
“Taking all of this into account, and informed by both internal and external reviews, I recommended to Government that it was timely to close this Programme to new applications.”
“The closure of the IIP will not affect existing projects or individuals already approved under the programme,” Harris said.
Oligarchs Used UK Scheme
The UK scrapped its so-called “Golden Visa” for wealthy foreign investors in February 2022.Launched in 2008, persons eligible for the visa were required to have at least £2 million in investment in UK-registered companies. Successful applicants were then allowed to study or work in the UK for up to five years and could apply to settle permanently in the country if they made further investments.
Ms. Braverman stressed this only “implies that a particular individual potentially poses a risk of having connections to criminality; it does not mean guilt has been proven,” adding that police had been given access to the information and were “taking action as appropriate.”
She also stated that 10 Russian oligarchs who used it have since been sanctioned as a result of the Russian invasion of Ukraine.
The statement was published five years after a review of Golden Visas was announced by then-Home Secretary Amber Rudd in the wake of the 2018 Novichok poisonings in Salisbury.
The decision to close the visa scheme in February 2022 came amid concerns over Moscow’s influence in the UK as tensions rose over the impending conflict in Ukraine.
In her statement, Ms. Braverman insisted her department is “robust in refusing leave where this is appropriate,” but said it had found there were inherent difficulties with the scheme “both in terms of security and economic value,” adding: “I am determined this Government will ensure such mistakes are not repeated.”
Labour branded the response “totally inadequate” while the Liberal Democrats said it was “farcical” and called for the review to be published in full.
