The European Union has issued notifications to five Caribbean countries demanding the termination of their Citizenship by Investment (CBI) programs, commonly known as “Golden Passport” programs. Failure to comply risks losing visa-free access to the European Schengen Area. Data shows that the majority of applicants for these golden passports come from China.
The European Commission officially wrote to the five Caribbean countries – Antigua and Barbuda, Dominica, Grenada, St. Lucia, and St. Kitts and Nevis on June 25, 2026, requesting a phased abolition of the “Golden Passport” programs by June 1, 2028. Failure to do so could lead to the EU cancelling visa-free access to the Schengen Area for citizens of these countries under the revised Visa Suspension Mechanism.
Additionally, the EU has imposed a short-term requirement for a 24-month transitional period, instructing countries to exclude individuals under EU sanctions by September 2026 and introduce enhanced scrutiny mechanisms for all citizenship applicants.
The EU has raised concerns about these programs lacking sufficient scrutiny, genuine national connection, identity change loopholes, and potential security and money laundering risks. They argue against selling citizenship as a remote commercial transaction and emphasize the need for genuine national ties between applicants and the country they wish to become citizens of.
Statistics indicate that the Caribbean countries issued a significant number of passports in 2023 and 2024, with very low rejection rates for golden passport applications (e.g., Antigua and Barbuda at only 1.7%, St. Lucia at 5.3%, Dominica at 6.5%). The rapid and high approval rate of these application processes is deemed insufficient by European officials to thoroughly expose hidden criminal activities, funding sources, or sanction risks.
The EU has previously taken action against various countries’ golden passport schemes, such as revoking Vanuatu’s visa-free privilege to the Schengen Area for security reasons in late 2024 and the European Court ruling Malta’s golden passport program illegal in 2025.
According to official reports from countries and the European Commission over the years, Chinese applicants have long been the primary beneficiaries of Caribbean golden passports:
– Dominica and Grenada: Chinese applicants (including mainland China and Hong Kong) accounted for 50% to 70% of the total approved CBI passport holders in recent years.
– Antigua and Barbuda, St. Kitts and Nevis: Chinese applicants have also consistently ranked among the top two major source countries.
For many wealthy Chinese individuals, Caribbean passports have been attractive due to characteristics such as a quick process, no residency requirements, access to many visa-free countries (especially in the Schengen Area and the UK), ease of overseas asset allocation, and tax planning.
However, the EU’s warning may trigger heightened compliance measures from global financial institutions, leading to stricter Know Your Customer (KYC) and anti-money laundering checks for passport holders when opening accounts or undergoing asset reviews.
For the small island nations in the Eastern Caribbean, the Golden Passport programs (with thresholds starting at around $200,000) serve as crucial financial sources for hospitals, schools, infrastructure development, and post-disaster reconstruction.
Prime Minister of Antigua and Barbuda, Gaston Browne, stated in a public statement following the EU’s letter that the Golden Passport program is a key pillar of non-tax revenue for the country and cannot be simply abandoned without a viable and sustainable alternative income source.
Currently, the five Caribbean countries are planning a coordinated response, including sending delegations to Brussels to negotiate with EU authorities.