The Government is ‘modernising’ visa settings to incentivise migrants to invest in New Zealand by simplifying the Active Investor Plus Visa to attract ‘high value’ investor migrants.
The changes to this Investor category visa are coming from 1 April and expected to help New Zealand encourage growth and make investing in New Zealand more attractive.
“Foreign investment has the potential to provide jobs for Kiwis, lift incomes by delivering new businesses and investing in existing ones. We should be rolling out the welcome mat and encouraging investor migrants to choose New Zealand as a destination for their capital,” Economic Growth Minister Nicola Willis said yesterday (9 February).
In the two years prior to COVID-19 migrants invested $2.2 billion, however since 2022, migrants entering New Zealand under the AIP category invested just $70 million.
From 1 April the current complex weighting system for the AIP will be replaced with two simplified investment categories:
- The Growth category will focus on higher-risk investments, including direct investments in New Zealand businesses. It will require a minimum investment of $5 million for a minimum period of three years.
- The Balanced category will focus on mixed investments, with the ability to choose ones that are lower risk. There will be a minimum investment of $10 million over five years.
Other changes include expanding the scope of acceptable investments and removing potential barriers to investment, such as the English language requirement.
The scope of acceptable investments for Balanced category will include bond and property (new residential, new/existing commercial or industrial developments) investments.
Time for new investors to make their investments in New Zealand has been reduced. Both categories must make all investments within 6 months of their approval in principle but may apply for a 6 month extension.
“Incentivising, simplifying and broadening the investment offerings will make New Zealand more attractive and accessible to more foreign high-value investors. These changes will turbocharge our economic growth, bringing brighter days ahead for all Kiwis,” Immigration Minister Erica Stanford said.
“Rather than turning potential investors away, this Government is intent on welcoming people who want to contribute to New Zealand. We are already making it easier for digital nomads to work remotely while visiting here and have established Invest New Zealand to promote investment into this country,” Willis added.
