Grenada Citizenship by Investment: CBI Programme for International Founders

The Grenada citizenship by investment programme stands out among Caribbean CBI programs for three structural features: (i) exclusive access to the E-2 USA treaty, which allows Grenadian citizens to obtain renewable investor visas to operate businesses in the United States without quotas or rigid employment requirements; (ii) visa-free travel to China (30 days), absent in other Caribbean passports post-2015; (iii) membership in the Commonwealth and CARICOM, with rights of establishment and movement within the Caribbean common market.

The legal framework—Citizenship by Investment Regulations 2017 (S.R.O. No. 17 of 2017) and subsequent amendments—defines two investment routes: non-refundable donation to the National Transformation Fund (NTF), a public fund allocated to infrastructure, renewable energy and education; or purchase of property in a Cabinet-approved project, with a five-year holding requirement. The Grenada CBI official website (imagrenada.gd) publishes quarterly updates of the Grenada CBI approved projects list and aggregated statistics on applications approved by nationality.

Due diligence—conducted by international providers including Thomson Reuters World-Check and Refinitiv—includes anti-money laundering checks, international sanctions, criminal proceedings and links to high-risk countries. The refusal rate stands at around 7–9% (IMA data 2022–2023), primarily for incomplete documentation or red flags in source of funds. The main historical markets have been China (>40% of applications 2015–2020), India, Nigeria and MENA, with growing interest from European and South American tech founders post-2022.

US persons (US citizens or green card holders) should note that acquiring Grenadian citizenship does not extinguish US tax obligations; renouncing US citizenship requires formal procedure at a consulate and payment of exit tax on unrealized gains above USD 2 million. UK-connected persons maintain worldwide taxation on arising basis if UK-domiciled, unless claiming remittance basis with high costs for non-doms.

Grenada citizenship by investment requirements impose a minimum age of 18 for the main applicant, absence of criminal record, no travel bans from Schengen/USA/Canada/UK countries, and documentable source of wealth through tax returns, corporate financial statements, sale contracts or gift deeds for inherited assets.

The government requires:

Standard documentation: valid passport, birth certificate, police certificate (country of residence + countries of residence >6 months in the past 10 years), tax returns for the preceding three years, bank reference indicating balances and relationship duration, marriage/divorce certificate, medical certificate (HIV/TB screening), 8 passport-size photographs.

Source of funds: notarized affidavit detailing the origin of invested capital; for founders: cap table, board resolutions on dividend distributions, share purchase agreements for exits, P&L of operating companies; for real estate: deeds of properties sold with tracking of bank flows; for inheritance: wills and succession certificates.

Dependents included without supplement within the family threshold: – Spouse; – Children <18 years; – Children 18–30 full-time students (university enrollment letters required annually); – Children >18 with physical/mental disabilities (medical board certification); – Parents/grandparents >55 years financially dependent on the main applicant (sworn affidavit + proof of financial support); – Unmarried siblings without children of the main applicant or spouse (Grenada-specific option, rare in global CBI programs).

The standard Grenada citizenship by investment processing time is 4–6 months from complete submission; frequent delays arise from incomplete bank references (many European banks refuse to issue letters for CBI post-compliance tightening) or requests for clarification on source of wealth for founders with multi-tier structures.

The government refuses applicants from countries under UN/US sanctions (Taliban-controlled Afghanistan, Iran, North Korea, Syria, Russia post-2022 with enhanced scrutiny), as well as individuals with pending criminal proceedings or asset freezes. Grenada citizenship for Indian nationals has seen 140% growth in the 2022–2023 biennium, driven by tech founders seeking travel flexibility to the USA (E-2) and China.

The Grenada CBI program offers two routes, with effective costs differentiated by family composition and capital recovery timeline:

1. National Transformation Fund (NTF) – non-refundable donation

Required contribution: – Single applicant: USD 235,000 – Main + spouse: USD 235,000 – Family of 4 (main + spouse + 2 dependents <18): USD 235,000 – Each additional dependent: USD 25,000 – Siblings: USD 75,000 each

Government fees: – Processing fee: USD 1,500 (main), USD 1,500 (spouse), USD 500 per dependent – Due diligence: USD 5,000 (main + spouse >17), USD 5,000 per dependent >17 – Passport fee: USD 250 per person

Indicative total single: USD 241,750 + legal/advisory fees (USD 15,000–25,000).

The NTF route is the fastest option (no waiting for real estate construction completions) and liquid, but the capital is non-recoverable.

2. Approved Real Estate Investment

Minimum investment: USD 270,000 (full title) in a Cabinet-pre-approved project with IMA license.

Hold period: 5 years from passport issuance date; early sale causes citizenship revocation.

Approved types: resort shares (Kimpton, Six Senses branded residences in 2024 pipeline), boutique hotels, villa developments in tourism zones (Grand Anse, Morne Rouge, Levera).

Additional government fees: – Processing: USD 1,500 (main), USD 1,500 (spouse), USD 500 dependents – Due diligence: as per NTF – Administrative fee: USD 50,000 (family ≤4), USD 75,000 (family >4)

Indicative total family of 4: USD 270,000 (RE) + USD 50,000 (admin) + USD 9,500 (processing/DD/passport) + USD 20,000 (legal) = USD 349,500.

Effective recovery depends on rental yields (developer projections indicate 3–5% annually, but Caribbean market volatility is high) and resale market post-hold: secondary liquidity is limited, exits at 15–25% discount on purchase price are common.

Grenada CBI fees – route comparison: For single founders without dependents, NTF offers the best cost/speed ratio (USD ~260k all-in). For families ≥4, real estate can be competitive if partial post-5-year recovery is valued and the horizon is 7–10 years.

Grenada CBI approved projects: the official list (imagrenada.gd/approved-projects) currently includes 18 projects (Q1 2024), concentrated on Grand Anse Bay and Levera National Park; independent due diligence on developer track record is essential, as construction delays and cost overruns are recurrent in the Caribbean hospitality sector.

Tax implications: Grenada does not impose capital gains tax on real estate; stamp duty on purchase 5% (often capitalized in the purchase price by the developer). Annual property tax ~0.2–0.5% on assessed value. US persons must report ownership via Form 8938 and FBAR if rental income or sale proceeds; UK persons with remittance basis can defer taxation on rental income if not remitted to UK, but administrative complexity is high.

The Grenada Citizenship by Investment process is managed by the Citizenship by Investment Unit (CIU) under the control of the Grenada Cabinet. The standard procedure requires 4–6 months from submission of the complete application to passport issuance. Grenada operates a three-tier due diligence system: internal screening, verification through international partners (Interpol, FinCEN, OFAC, UK NCA) and final review by the Citizenship by Investment Committee. The government rejects approximately 15% of applications for compliance reasons or incompleteness. The application can include spouse, children under 30 (including married from 2024), parents/grandparents over 55 and unmarried siblings of the main applicant. The passport has 5-year validity and is renewable without physical residency requirement.

The total cost of the Grenada CBI program varies according to family composition and the chosen investment vehicle. For the National Transformation Fund (NTF), the government revised fees in January 2024: single applicant USD 235,000; family of 2–4 persons USD 250,000; each additional dependent USD 25,000. For real estate investment, the minimum is USD 270,000 in a pre-approved project (list at cbi.gov.gd/approved-projects), with a 5-year holding requirement. Beyond the main investment, government fees are among the highest in Caribbean CBI programs: processing fee USD 1,500 (non-refundable), due diligence fee USD 5,000 per main adult and spouse, USD 5,000 per each dependent over 17, zero under 17. Agency fees for an Authorised Agent range between USD 40,000 and USD 75,000 depending on complexity. For real estate projects, developer fees, transfer tax (5%) and legal fees add approximately USD 30,000–50,000. The all-in cost for a family of four (via NTF) is approximately USD 340,000–370,000.

Grenada does not tax worldwide income of non-fiscal residents and imposes no capital gains tax, inheritance tax or wealth tax. New citizens via CBI do not automatically acquire tax residency: this is triggered only after 183 days of physical presence in a calendar year. In the absence of stay, the Grenada CBI citizen remains non-resident for tax purposes and is not subject to any local taxation. Grenada has signed twelve double taxation treaties (UK, Switzerland, Caricom States) that can apply once tax residency is established. The country joined the Common Reporting Standard (CRS) in 2017 and automatically exchanges financial information with over 100 jurisdictions; however, it is not on the EU list of non-cooperative jurisdictions. Grenada does not operate controlled foreign company (CFC) rules or equivalent, making the structure suitable for international holding companies and IP boxes, provided economic substance is allocated elsewhere (typically UK, UAE, Singapore or Delaware LLC disregarded). For US citizens obtaining Grenada citizenship, IRS filing obligations (FBAR, FATCA Form 8938, Form 5471 for foreign subsidiaries) remain unchanged: the United States taxes on the basis of citizenship, not residency. US persons must declare worldwide income and comply with Subpart F / GILTI rules for each CFC; non-compliance exposes to penalties up to 50% of undeclared balances. UK domiciled individuals who acquire Grenada citizenship and attempt to invoke non-dom status must demonstrate domicile of origin or choice outside the United Kingdom; from 2025, the non-dom regime will be abolished and replaced by a four-year exemption for new arrivals. Grenada CBI does not by itself provide protection from UK deemed domicile rules. The effective tax advantage materializes when the founder maintains residency in a low-tax jurisdiction (UAE, Portugal NHR ceased 2024, Portugal new regime from 2024) and structures operating activities in jurisdictions with substance and treaties.

The Grenada passport grants visa-free or visa-on-arrival access to 148 jurisdictions (Henley Passport Index 2025), including the United Kingdom (6 months), Schengen (90 days/180 days), Singapore, Hong Kong, China (30 days with e-visa). Grenada is the only Caribbean CBI program offering access to the E-2 treaty with the United States, allowing citizens to apply for a non-immigrant investor visa to manage activities on US territory, renewable indefinitely. E-2 access is particularly relevant for entrepreneurs wishing to operate in the US market without undertaking the EB-5 path ($800,000–1,050,000). Founders who maintain US citizenship must still declare worldwide income (FATCA/FBAR) and remain subject to federal taxation regardless of the Grenada passport. For citizens of FATF grey-list countries (e.g. UAE, Turkey historically) or high-risk jurisdictions, due diligence is more stringent and approval times can extend by 2–4 months. Grenada has no double taxation agreements with the EU or UK, so tax planning must be coordinated with complementary offshore structures to optimize withholding tax on dividends and royalties.

Grenada CBI allows inclusion in the same application of spouse, dependent children (up to 30 years if full-time students or financially dependent), parents and grandparents over 55 (dependent on the main applicant), unmarried siblings under 18. The government fee for spouse is $25,000 (NTF option) or $50,000 (real estate option), for each dependent under 18 $25,000 (NTF)/$50,000 (RE), over 18 $50,000 (NTF)/$75,000 (RE). Newborns born after approval can be added within 12 months with additional fee $5,000. Inclusion of key dependents outside the family nucleus is not permitted, nor of unmarried partners (Grenada recognizes only legal marriage, not civil unions). For families of 4+ members, the real NTF threshold is approximately $235,000 (applicant + spouse + 2 minor children), including processing fee, due diligence ($5,000 main + $5,000 spouse + $5,000/child >16 years), and legal/agent fees (~$30,000). Adult siblings over 18 do not fall within the definition of dependent and require a separate application. Citizenship is transmitted by descent to descendants, but future generations born abroad must register at the Grenadian High Commission within 12 months of birth to automatically retain citizenship.

Grenada CBI è ottimale per founder che cercano accesso al mercato USA tramite E-2 visa senza investimento EB-5, imprenditori di e-commerce e SaaS che vogliono secondo passaporto CARICOM per diversificazione di rischio geopolitico, e famiglie HNW che desiderano piano B mobilità senza residenza fisica. L'assenza di requisiti di permanenza rende Grenada compatibile con stile di vita nomade digitale o tax residency altrove (UAE, Portogallo NHR, Malta, Cyprus). Per US persons, Grenada non fornisce exit dalla tassazione USA: rimane obbligo di dichiarare worldwide income (Form 1040, FBAR, Form 8938 se foreign financial assets >$200.000). UK-connected individuals che ottengono Grenada passport devono monitorare ties sostanziali (giorni UK, centro interessi vitali, disponibilità alloggio permanente) per evitare UK tax residency involontaria, indipendentemente dalla cittadinanza formale. Il programma attrae anche founder LATAM (Argentina, Brasile, Venezuela) e africani (Nigeria, Sud Africa) che cercano mobilità Schengen e accesso banking internazionale. Non adatto a chi necessita di residenza fiscale riconosciuta UE/OCSE: Grenada territorial system e mancanza di DTT con major economies richiedono strutturazione parallela (holding Malta, UAE freezone) per ottimizzare withholding tax. Founder che richiedono substance per UK CFC o EU ATAD devono considerare programmi alternativi con requisiti fisici (Malta, Cyprus).

Grenada non rilascia certificato di residenza fiscale automaticamente con la cittadinanza: per ottenere tax residency certificate è necessario dimostrare 183 giorni di presenza fisica o centro di interessi vitali, limitando l'efficacia per treaty shopping. Il passaporto Grenada non è accettato da UAE per aprire corporate bank account presso major banks (ENBD, ADCB) senza ulteriore due diligence; founder devono presentare economic substance report o secondo passaporto tier-1. Real estate option ha lock-in 5 anni: il bene non può essere venduto prima senza perdere cittadinanza, e la liquidità dell'investimento (resale market caraibico) è limitata. Grenada non ha trattati di doppia imposizione con UK, US, Svizzera, Germania, quindi dividendi e royalty outbound possono subire withholding tax 15–30% senza crediti compensabili. US persons che acquisiscono Grenada non ottengono alcun vantaggio fiscale: rimane obbligo FATCA, FBAR, e tassazione worldwide; inoltre, rinuncia alla cittadinanza USA comporta exit tax su unrealized gains >$2M o net worth >$2M. Grenada figura in alcune watchlist compliance (es. banche svizzere, Singapore) come passaporto CBI, con richieste documentali aggiuntive per aperture conti >$500.000. Due diligence è delegata a provider terzi; casi di revoca cittadinanza post-approvazione (per frode o falsa dichiarazione) sono rari ma documentati.

Non sono state annunciate modifiche legislative strutturali al Grenada CBI nel 2025–2026. Il governo mantiene la soglia NTF a $150.000 (single applicant) e la categoria real estate a $220.000 + government fees, con processing standard 4–6 mesi. Nel marzo 2025, il Citizenship by Investment Committee (CBIC) ha pubblicato lista aggiornata di 24 progetti real estate approvati, includendo nuovi resort a Levera Beach e boutique hotel a St. George's. L'Investment Migration Agency (IMA) Grenada conferma che non è previsto aumento fee per il 2026, in contrasto con St. Kitts e Dominica che hanno incrementato le soglie entry-level rispettivamente a $250.000 e $200.000. Grenada ha rinnovato nel gennaio 2025 l'accordo bilaterale con Stati Uniti per il trattato E-2, mantenendo l'accesso esclusivo tra i programmi CBI caraibici. Il governo ha introdotto fast-track processing (60–90 giorni) con surcharge $50.000 per applicants che dimostrano urgency documentata (risk geopolitico, scadenza visto). A livello CARICOM, Grenada partecipa al framework MOU 2024 per armonizzazione due diligence con Antigua, St. Lucia, St. Kitts, includendo background check Interpol obbligatorio e verifica source of funds tramite audited bank statements ultimi 6 mesi. UE e OCSE continuano a monitorare tutti i programmi CBI sotto BEPS Action 5 (harmful tax practices); Grenada ha ottenuto rating 'Largely Compliant' nel Global Forum Peer Review 2024 per trasparenza fiscale, riducendo rischi blacklist future. Founder devono seguire comunicazioni ufficiali IMA per eventuali modifiche normative H2 2026.