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Why was Malta Golden Passport Scheme Scrapped?

Context: Malta’s golden passport scheme was struck down by the European Court of Justice in April 2025 for turning EU citizenship into a commercial transaction, violating EU principles.

About Malta Golden Passport Scheme

  • Malta Golden Passport Scheme was launched in 2020. The scheme allowed foreign nationals to acquire Maltese citizenship in exchange for large financial investments.
  • Citizenship of Malta meant automatic EU citizenship, granting rights like free movement, work, voting, and residency across the EU.

Malta Golden Passport

  • Critics argued it commercialised EU citizenship, enabling money laundering, tax evasion, and security risks.
  • Most beneficiaries were from China, Russia, and West Asia.
  • Between 2013–2019, around 32 lakh people entered the EU via CBI and RBI schemes, generating over €20 billion.
  • The European Commission and court stated this undermined trust among EU nations and violated EU treaties.
  • In 2025, the European Court of Justice officially invalidated the scheme, ending Malta’s golden passport programme.
  • Malta’s scheme clashed with EU laws on mutual trust, fair cooperation, and anti-discrimination.
  • The court prioritised ethical citizenship practices over financial gains.

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About the Author

Greetings! Sakshi Gupta is a content writer to empower students aiming for UPSC, PSC, and other competitive exams. Her objective is to provide clear, concise, and informative content that caters to your exam preparation needs. She has over five years of work experience in Ed-tech sector. She strive to make her content not only informative but also engaging, keeping you motivated throughout your journey!