Article 32 — Passive Residency by Investment (Golden Visa)

The Andorran Passive Residency by Investment program, colloquially known as the Golden Visa, was established to strategically position the microstate as a premier destination for high-net-worth individuals seeking a secure, tax-efficient European base. Rooted in the Law on International Mobility of Persons, this residency category was designed to diversify the Andorran economy by attracting foreign capital without placing additional pressure on the local labor market. By mandating significant financial commitments rather than active employment, the government fills a critical gap in its immigration framework, specifically catering to affluent retirees, investors, and entrepreneurs who wish to establish a legal domicile in the Pyrenees without engaging in local gainful activity. This legislative initiative serves as a cornerstone of Andorra’s modern economic policy, transforming the principality from a traditional banking hub into a sophisticated, high-end residency destination that balances strict fiscal oversight with the allure of a tranquil, low-tax environment.

The ideal applicant for this visa is a financially independent individual or family seeking a stable, high-security environment with minimal physical presence requirements. Unlike standard work visas that necessitate full-time residency and local employment, the Passive Residency program is uniquely flexible, requiring only 90 days of annual presence, making it an attractive option for global citizens who maintain multiple residences. The program covers a broad spectrum of applicants, including those in finance, technology, and international consulting, provided they can demonstrate the necessary capital—typically a €600,000 investment in Andorran assets, such as real estate or government-approved funds, or a €400,000 contribution to a government housing initiative. Beyond the investment, applicants must prove a minimum annual income of approximately €49,545 and maintain significant liquid savings. The most distinctive benefit of this visa is access to Andorra’s exceptionally favorable tax regime, which caps personal income tax at a maximum of 10%, offering a substantial fiscal advantage compared to neighboring France or Spain. While the program offers unparalleled tax efficiency and a high quality of life, it is strictly limited by its prohibition on local gainful employment, ensuring that the residency remains a vehicle for wealth preservation and lifestyle rather than a path to local labor market integration.