HOW TO GET AUSTRALIA CITIZENSHIP BY INVESTMENT FOR SOUTH AFRICANS IN 2023?
IS AUSTRALIA A GOOD PLACE TO MIGRATE?
Australia is a very attractive destination for many South Africans who are considering moving abroad. Located in the southern hemisphere, both nations have similar climates with mild winters and long, delightful summers.
Both are English speakers which helps for business, family, education, and ease of assimilation. Australia is also very safe, and that is a major consideration for many South African migrants.Australia Citizenship for South AfricansAustralia Citizenship by Investment program
WHAT ARE THE BENEFITS OF AUSTRALIA RESIDENCY FOR A SOUTH AFRICAN?
The country has vast natural resources, a low unemployment rate averaging around 3%, and a rapidly growing and diversifying economy. Immigrants see attractive employment prospects for both skilled and professional workers, plus excellent investment opportunities for entrepreneurs.
WHAT IS THE COST OF LIVING LIKE IN AUSTRALIA?
Australians enjoy a high standard of living due to exceptional income levels. The average income in Australia versus the United States is the same, but lower housing and food costs mean the Australian income has 10% more purchasing power (Numbeo.com).
IS AUSTRALIA MORE EXPENSIVE TO LIVE IN THAN SOUTH AFRICA?
South African prices average 50% less, making Australia look expensive. But Australia’s cost of living is economically far ahead because incomes are 70% or higher there and purchasing power is 50% higher.
ARE THERE OTHER BENEFITS TO LIVING IN AUSTRALIA?
Australians also enjoy an outstanding, government-subsidized medical system, excellent education at all levels, reliable infrastructure, and an exquisite country, with little or no pollution. It is a relaxed, healthy, outdoor lifestyle with an excellent work-life balance.
IS AUSTRALIA POPULAR AS A DESTINATION FOR SOUTH AFRICAN MIGRANTS?
Stefano Migliore, Executive Director of Harvey Law Group (HLG), based in South Africa and with 30 years’ experience in the field, explains, “Many South Africans are considering their options now, and a second passport or even migrating is attractive to a significant number. Australia is a hugely popular destination because of the economy and lifestyle.”
There are two main routes to residency by investment for South Africans wanting to move to Australia. The Australia Investor Stream Visa 188 B (AISV) is the name of the first path.
HOW MUCH DOES IT COST TO GET AUSTRALIA RESIDENCY BY INVESTMENT?
It requires an investment of at least AUD 2.5 million (approximately USD 1.7 million at the time of writing). This must be allocated in specific ways. A minimum of AUD 500,000 in venture capital and growth private equity funds, investing in start-ups and small private companies.
A further minimum of AUD 750,000 in approved managed funds, investing in emerging companies listed on the Australian Stock Exchange.
Finally, the remaining AUD 1.25 million is in managed funds. You must retain these investments for at least 5 years to qualify. Further, you can change your investments but cannot withdraw them without cancellation of the visa.
IS IT POSSIBLE TO OBTAIN RESIDENCY THROUGH PROPERTY OWNERSHIP OR REAL ESTATE INVESTMENT IN AUSTRALIA? WHAT ABOUT OTHER PROPERTY OWNERSHIP?
The Australia Significant Investor Visa (SIV) is the second option. It requires a higher commitment of funds, at least AUD 5 million (USD 3.4 million), but gives you more flexibility with a wide range of acceptable investments.
You must divide your investment into 3 tranches: a minimum of AUD 1 million in venture capital and private equity funds investing in start-ups and small private companies; and a minimum of AUD 1.5 million in approved managed funds investing in emerging companies; the remainder (up to AUD 2.5 million) in managed funds investing in a range of assets.
Again, you can change your investment. If you withdraw it for more than 30 calendar days however, the visa will be cancelled. There is no option for direct investment in real estate.
DO THESE VISAS GRANT PERMANENT RESIDENCY? CAN THESE INVESTMENT VISAS LEAD TO CITIZENSHIP?
Both residency-by-investment visas grant the ability to work, study, or live in Australia for five years on a provisional visa. At the end of the 5 years, you may choose to extend that visa for up to another 4 years under the ASIV, or you can choose to apply for citizenship.
DO THESE VISAS COVER MY FAMILY?
In both cases, the application can also cover a spouse or de facto partner and dependent children up to age or 23. There is no English language proficiency required.
Processing for both types usually takes 12 to 24 months. For further questions, please contact Harvey Law Group as outlined below.
ABOUT HARVEY LAW GROUP (HLG)
Harvey Law Group (HLG) is a leading multinational law firm with over 20 offices worldwide. It was founded in 1992 by Jean-François Harvey and has a long track record and deep experience in the immigration law sector.
HLG provides legal and advisory services to individuals and families on immigration, residency and citizenship. Its offices span Asia, North and South America, Europe, Africa and the Middle East.
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Article disclaimer: While we have made every effort to ensure the accuracy of this article, it is not intended to provide final legal advice as facts and situations will differ from case to case, and therefore specific legal advice should be sought with a lawyer.