Suspension of CIIP and Immediate Impacts
Vanuatu's decision to pause its Capital Investment Immigration Plan (CIIP) took immediate effect as of March 17, putting a hold on all new applications.
The suspension, ordered directly by the Prime Minister's office, reflects the government’s commitment to regulatory enhancements aimed at improving the integrity and effectiveness of the program. This move is part of a broader strategy specified in the government's 100-day plan focusing on top national priorities, including the overhaul of critical economic programs.
The Citizenship Commission, under fresh leadership from Charlie Maniel appointed on March 8, 2025, represents a pivotal shift towards more stringent management and oversight of the country’s investment immigration avenues.
This pause will remain in effect "until further notice" as stated in an official memo to registered agents, who are now preparing for the rollout of revised regulations set to be finalized soon.
Expected Changes and Industry Reactions
The revamp aims at rectifying past irregularities such as the illegal discounting of investments and fraudulent activities that have marred the program’s reputation.
Professionals believe these changes are crucial for maintaining the program’s viability and ensuring that it continues to offer substantial economic benefits as originally intended.
The anticipated modifications include stricter due diligence procedures, a reduction in the number of designated agents, clearer investment guidelines, and enhanced transparency in government-sector investment priorities.
Changes also involve adjustments in processing applications to ensure robust scrutiny and compliance, essentially elevating the program's standards to those suggested by the EU.
Looking Forward: Continuation of Other CBI Options
It is crucial to note that only the CIIP has been suspended.
Other citizenship by investment options in Vanuatu, such as the Development Support Program (DSP) and the VCP (specifically for Chinese applicants), continue to operate. These programs provide alternative routes for acquiring citizenship in Vanuatu and contribute to the nation’s economic development.
Looking at other APAC jurisdictions like Singapore, the landscape of citizenship by investment is significantly different, emphasizing stringent requirements and a focus on significant economic contributions or exceptional personal talent for potential citizens.
The suspension and impending overhaul of Vanuatu’s CIIP reflect a growing trend among nations offering citizenship by investment to reform their frameworks to ensure sustainability, compliance with international standards, and to safeguard against misuse.
While this may cause temporary disruptions, such strategic improvements are poised to enhance the program’s reputation, attract genuine investors, and ultimately, benefit Vanuatu’s economic landscape.
