The European Commission has given Albania a second warning over its fledgeling cash for passports scheme, following an initial caution back in 2019, stating that it goes against legislation of the European Union and poses a danger for Albania and the bloc.
In November 2019, Exit sounded the alarm over the government’s plans to introduce a scheme granting citizenship to those investing a certain amount of money into the country. Prime Minister Edi Rama spoke at a conference organised by the controversial passport concessionaires Henley and Partners in London, where he joked that the EU would be unhappy with the plan, but it would proceed anyway.
Rama to Sell Off Albanian Citizenship in ‘Fantastically Corrupt’ Cash-for-Passport Scheme
In December, the EU Delegation in Tirana told Exit that it does not support the plan, and they had “the European Commission has encouraged Albania to consider whether the introduction of an investor citizenship scheme would be worth the inherent risks.”
They also stated that any failures of the Albanian government to ensure that proper security and background checks are carried out on those granted passports will result in “grounds for re-imposing visa requirements.”
EU Delegation in Albania Does Not Support Rama’s Cash for Passports Scheme
Albanian citizens currently enjoy visa-free travel throughout the EU.
Their spokesman commented that the “investor citizenship scheme poses risks as regards security, money laundering, tax evasion, terrorist financing, corruption and infiltration by organised crime.”
They added that schemes that allow bypassing regular Schengen visa procedures for 3rd country nationals can result in “security risks” and an “evasion of measures to prevent money laundering and financing of terrorism.”
From then, little else was heard about the scheme, but in 2020, the president’s right to grant citizenship was transferred back to the Ministry of the Interior.
Then on 29 July, the government adopted a decision to offer the processing of Albanian citizenship applications through a scheme via an unnamed international company. It was not detailed whether Henley and Partners will take on the role, and the company previously told Exit they do not comment on potential client relationships.
Answering questions from BIRN, the Commission echoed previous comments to Exit.
“The Commission has taken strong measures against citizenship schemes for investors inside and outside the EU. The Commission considers these schemes contrary to EU laws, as they violate the principle of sincere cooperation and the concept of EU citizenship,” the Delegation told BIRN.
“With the holding of the first Intergovernmental Conference for the opening of EU membership negotiations with Albania on 19 July, the European Commission expects the Albanian authorities to gradually align with the acquis and avoid deviating from it,” said the Delegation.
“The European Commission will continue to follow any development related to the possible introduction of a citizenship scheme for investors in Albania,” concluded the Delegation.
Malta, Cyprus and Bulgaria previously had similar schemes. Cyprus shut down following Commission pressure over corruption and irregularities, and Bulgaria followed suit after it was found many applicants did not truly satisfy the criteria. Malta continues to sell its passports, mainly to Russian and Saudi applications, including a raft of people who have been implicated and prosecuted in money laundering, fraud, embezzlement, and more. The Commission is prepared to start infringement proceedings against Malta if it continues.
