At their plenary session in Strasbourg on Wednesday 7 May, MEPs debated the condemnation by the Court of Justice of the European Union (CJEU) of Malta’s 2020 ‘Citizenship by Investment’ scheme.
In this ruling, handed down on Tuesday 29 April, the CJEU ruled that marketing the nationality of a Member State, and hence European citizenship, “infringes Union law” (see EUROPE 13630/23).
The Polish Minister for European Affairs, representing the rotating Presidency of the EU Council, recalled in the preamble to the exchanges that the Court recognised that “the granting and withdrawal of nationality fall within the competence of the Member States, but this competence must be exercised in accordance with Union law”.
The CJEU’s decision was also welcomed by the European Commission and a large number of MEPs.
The European Commissioner for Democracy, Justice and the Rule of Law, Michael McGrath, has clearly stated the Commission’s position. “European citizenship is not for sale”, he insisted.
He added: “When a Member State grants nationality in exchange for a predetermined investment or payment, it is manifestly violating the principles of solidarity, good faith and reciprocity between the State and its citizens”.
For MEPs, further actions is needed. Indeed, Malta is the only Member State to retain such a programme and, as German MEP Daniel Freund (Greens/EFA) pointed out, the Member State is “selling something that does not belong to it alone”.
According to the Green MEP, the Commission must therefore clarify the status of people who have already acquired nationality in this way.
Birgit Sippel (S&D, German), who welcomed a decision that “sends a strong signal to all Member States”, nonetheless called for strict European regulation, particularly of residence by investment schemes.
Czech EPP representative Luděk Niedermayer echoed this view, denouncing the negative effects on real estate and security.
David Casa (EPP, Maltese) described the CJEU ruling as a “victory for the people of Malta and Gozo”, and went on to denounce the abuses revealed by journalist Daphne Caruana Galizia.
Similarly, Saskia Bricmont (Greens/EFA, Belgian), who emphasised “internal security” and the protection of European citizenship, was also outraged at the lack of fairness: “There can be no question of some wealthy people buying it and abusing it while others are denied it without any other justification.”
However, some Maltese representatives defended the programme. Thomas Bajada (S&D) pointed out that this instrument had been “approved by the Commission” and had made it possible to fund social policies, and that Malta had suspended Russian and Belarusian applications from March 2022. He cited the “specific realities of being an island” and Malta’s obligation to “continue to invest in its communities”.
Alex Agius Saliba (S&D, Maltese) pointed to a “relentless attack” on Malta, even though similar programmes exist elsewhere in the EU. (Original version in French by Nithya Paquiry)