Summarised by Centrist
New Zealand is slashing the minimum investment threshold and scrapping English language requirements for the investor visa for wealthy foreign investors.
Investment levels plummeted from $2.2 billion pre-pandemic to just $70 million since Labour’s 2022 reforms.
Calling the previous Labour-era visa settings too restrictive, Prime Minister Christopher Luxon said, “We need to say a lot more yes and a lot less no.”
Starting April 1, the “Active Investor Plus” visa will be split into two categories: a “growth” stream requiring $5 million in higher-risk investments like local businesses, and a “balanced” stream with a $10 million minimum over five years. The visa grants residency rights and a pathway to permanent residence after four years.
Labour called the policy “peak short-sightedness,” arguing it could encourage passive investment in property rather than economic development.
“Allowing people to buy residence by parking their money in a passive investment like property that won’t generate jobs or sustainable economic development for New Zealand doesn’t sit well,” said immigration spokesperson Phil Twyford. He also blasted the removal of the English requirement for the wealthy while it remains for other migrants.
Supporters, however, see the move as a much-needed boost. David Cooper of Malcolm Pacific Immigration called it a “turning point,” noting investor migrants inject “two to three times more” into the economy beyond their initial investment.
