The Portuguese government has proposed amendments to its Nationality Law that could impact Golden Visa holders by extending the residency requirement for citizenship from the current period to 10 years.
Following the May 18, 2025, elections, the Portuguese government is pursuing significant reforms to the country’s citizenship and immigration laws. In light of this objective, the Council of Ministers convened on June 23 and approved a series of proposals addressing immigration and citizenship.
Immigration emerged as a central issue during the 2025 elections, driven by a sharp rise in foreign residents. In 2023, the foreign resident population exceeded one million, marking a one-third increase compared to the previous year. This rapid growth, coupled with insufficient responsiveness from the responsible authorities, such as AIMA (Agência para a Integração, Migrações e Asilo), has intensified public debate and underscored the need for comprehensive reform.
This article outlines the proposed changes, their implications for investors, and key considerations for current and future applicants.
Proposed Changes to the Nationality Law
The draft law, presented to Parliament, includes:
- Extended Residency Requirements:
- 10 years for most applicants (up from 5 years).
- 7 years for nationals of Portuguese-speaking countries (CPLP).
- The residency period starts from the first residence permit issuance, not the application date.
- New Naturalisation Criteria:
- A2-level Portuguese language proficiency.
- Civic knowledge test on Portuguese culture, rights, and duties.
- No criminal record for offences punishable by imprisonment.
- Elimination of Sephardic Jewish Ancestry Route.
- Creation of a Public Security Unit (UNEF) with revised immigration rules.
These proposals are not yet law, pending parliamentary debates, amendments, and approval.
Impact on Golden Visa Holders
The Golden Visa (ARI) program, which grants residency through investment, remains unchanged in its residency rights. However, the path to citizenship may be affected:
- Residency Rights Protected: Approved Golden Visa applications maintain existing residency privileges.
- Citizenship Pathway: If enacted, new citizenship rules could require 10 years of residency and additional criteria for Golden Visa holders.
- No Retroactive Changes: Applications submitted before June 19, 2025, with complete documentation, will likely follow the current 5-year rule. Incomplete or post-June 19 applications may fall under new rules.
Legal precedent from the 2023 “Mais Habitação” process indicates that retroactive application before enactment is unconstitutional, establishing a strong basis for the current rules to remain in effect until the law is finalised.
Current Citizenship Applicants
If you applied for citizenship before June 19, 2025, with a complete file, the 5-year residency rule should apply. Incomplete applications or those filed after this date may face the proposed 10-year requirement and new criteria once the law takes effect.
Future Applicants
If the draft law passes unchanged:
- Applicants must hold residency for 10 years from their first permit issuance.
- A2-level Portuguese, civic knowledge, and a clean criminal record will be mandatory.
- Emphasis on “real ties” and community belonging may influence eligibility.
Permanent Residency Option
Golden Visa holders can still apply for permanent residency (PR) after 5 years, typically requiring A2-level Portuguese. PR rules for Golden Visa holders may differ from standard PR, so consulting a lawyer is advised.
The legislative process involves parliamentary review, potential amendments, and negotiations, which could alter the proposal. Industry experts, including lawyers and fund managers, are closely monitoring developments. If passed, the law will likely apply only to applications submitted after enactment, except for noted exceptions.
Disclaimer: This article does not constitute legal advice. Contact a qualified attorney for case-specific guidance.
