Portugal’s investment fund option via the Golden Visa program is now expected to be the main investment channel after the country closed the door to real estate purchases.
Funds for Residence Rights
With the changes to the scheme, investors are looking at funds as an option to gain residence rights, according to a report by Jornal Económico cited in The Portugal News.
To qualify, applicants must transfer €500,000 to one or more eligible funds.
One fund drawing interest is Pela Terra II: Regenerate, which focuses on sustainable agriculture and is helping to revive 1,000 hectares of farmland in the Alentejo region.
Other Options Still Available
Contributing at least €250,000 to cultural projects, €500,000 to scientific research, or creating 10 local jobs can also secure a golden visa.
Applicants must pass a background check and prove they have no outstanding debts.
It’s estimated that 80 to 90% of investments through the program will now go into funds rather than property, according to the report.
The changes come after criticism of the impact the visas were having on Portugal’s housing market.
The country continues to seek foreign investment but through channels seen as more beneficial to local communities.
ETIAS Program Also Impacted
The changes to Portugal’s investment visa come just months before the launch of the European Union’s ETIAS visa waiver program in May 2025.
The European Travel Information and Authorization System (ETIAS) will require travelers from over 60 countries to obtain pre-travel authorization to visit any EU Schengen Area country.
Golden visa applicants from those nations will now need to navigate both processes for long-term stays under 90 days in Portugal or elsewhere in Europe.
The country’s shift away from real estate investments may prompt a reevaluation of its attractiveness.
However, Portugal remains open to business investors and those able to meet capital requirements.
Immigration Policy Moves in New Direction
More broadly, Portugal joins other EU nations tweaking programs to curb housing inflation and other unintended impacts.
However, the country continues to welcome foreigners through targeted channels after building a reputation as an appealing destination for digital nomads, retirees, and others.
The golden visa changes tackle criticism while leaving room for investors to come, create jobs, and fund projects benefiting local communities.
Investor Interest Continues
The changes to Portugal’s golden visa program redirect investments into areas aimed at having a positive impact, rather than contributing to housing affordability issues.
With abundant options still available to investors, it appears interest in the residence visas will remain strong.
Time will tell whether the shift truly benefits local communities, but the high application numbers reported so far indicate Portugal’s appeal endures.