Tesco
Too Much of a Good Thing?
Report

Too Much of a Good Thing?

Prudent Management of Inflows Under Economic Citizenship Programs

Xin Xu, Ahmed El-Ashram and Judith Gold
IMF, 2015
Get the Report

Read or listen offline

automatisch generiertes Audio
  • 0.5×
  • 0.75×
  • 1×
  • 1.25×
  • 1.5×
  • 1.75×
1×
automatisch generiertes Audio

Editorial Rating

7

Qualities

  • Innovative

Recommendation

While not every country is blessed with abundant natural resources, a talented labor force or a good location for trade, all nations have a valuable asset in their legal sovereignty. Putting that sovereignty to work through setting up tax havens or leveraging trade access is nothing new, but selling passports or visas to the wealthy is a fresh growth area. While this enlightening report from International Monetary Fund economists Xin Xu, Ahmed El-Ashram and Judith Gold lacks discussion of the civic merits of exchanging citizenship or residency for money, it does offer guidelines for wisely managing these programs. getAbstract recommends it to policy makers and prospective applicants.

Take-Aways

  • Many nations offer citizenship or residency rights in exchange for significant financial contributions, and these economic citizenship programs (ECPs) are growing.
  • ECPs typically require foreigners to pay fees, contribute to a state fund or invest in property. For small countries, the revenues from these programs can be sizable.
  • But ECPs bring risks to nations’ reputation, governance and financial stability in the form of corruption, economic dependence and fiscal distortions.

About the Authors

Xin Xu, Ahmed El-Ashram and Judith Gold are International Monetary Fund economists.

Comment on this summary or Diskussion beginnen

More on this topic

Learners who read this summary also read

9
Book
Citizenville
7
Book
Critical Citizens
8
Book
The Power of Citizenship
8
Book
The Civil Corporation
8
Report
Citizen Security in Latin America
8
Article
The Wisdom of the Social Crowd

    Related Channels

    Wirtschaftstheorie