BT Explainer | Luxembourg residency route: How investors can secure easy EU access in just 6 months
The Luxembourg Residence by Investment Program allows eligible applicants to live in the country by making qualifying investments or, in some cases, by applying for residence for private reasons
- Jun 4, 2026,
- Updated Jun 4, 2026 7:05 AM IST
Luxembourg is drawing attention from wealthy non-EU investors looking for a foothold in Europe, offering a residence-by-investment route that can lead to residency in about six months and a possible path to citizenship after five years.
The programme is aimed at individuals willing to make a significant financial contribution to Luxembourg, one of Europe’s most stable and business-friendly economies. For investors, the appeal lies not only in residence rights but also in access to the European Union and the Schengen Area.
What the programme offers
The Luxembourg Residence by Investment Program allows eligible applicants to live in the country by making qualifying investments or, in some cases, by applying for residence for private reasons.
The benefits include visa-free access across the EU and Europe’s Schengen Area, a high quality of life, political stability, and investor-friendly rules. The programme also has no compulsory real estate purchase requirement.
Luxembourg’s corporate law framework allows relatively quick company formation, while the country offers no wealth tax and a favourable inheritance and capital gains taxation regime.
Investment options
Non-EU investors can qualify for residence by choosing one of four investment routes.
The first option requires a minimum investment of EUR 500,000 (₹5.56 crore) in an existing Luxembourg company involved in commercial, industrial or craft activities. The investor must also commit to maintaining existing employment for five years.
The second option also requires at least EUR 500,000 (₹5.56 crore), but in a new Luxembourg company carrying out commercial, industrial or craft activities. Under this route, the investor must create at least five jobs within three years.
A third option requires a minimum investment of EUR 3 million (33.37 crore) in an existing or new investment or management structure with a registered office in Luxembourg and appropriate substance.
The fourth option requires a deposit of at least EUR 20 million, or about ₹222.44 crore, in a financial institution established in Luxembourg. The deposit must be maintained for at least five years.
Residence for private reasons
Apart from the investment route, individuals from developing nations may apply for residence for private reasons. However, successful applicants under this route cannot be employed in Luxembourg.
Applicants must prove that they can support themselves financially. A regular income flow of at least EUR 27,000 per year (₹30.03 lakh) is required, and bank savings alone may not be considered sufficient.
They must also have permanent accommodation in Luxembourg, along with third-party liability insurance and property insurance for rented or purchased property.
Application process
Applications must be submitted through prescribed forms, along with the required fees and supporting documents. Applicants must also show their intention to reside permanently in Luxembourg.
Under the residence-by-investment route, the investment application is submitted to either the Ministry of Finance or the Ministry of Economy. If approved, the Ministry of Foreign Affairs examines the application for final approval. After that, the applicant must apply for a category D visa from their current country of residence.
For residence by private reasons, the application is submitted directly to the Ministry of Foreign Affairs. If approved, the applicant requests a category D visa from their current country of residence and collects it from the local consulate or embassy.
After approval
Once authorisation is granted, the applicant must travel to Luxembourg within 90 days. They must undergo a medical check, submit the residence permit application, and register with their commune of residence within three days of arrival.
Residence permits are initially valid for three years under the residence-by-investment route and one year under the private-reasons route. Renewals are subject to conditions, including proof that the applicant has spent a significant period in Luxembourg. For investors, this means at least six months in the country.
Path to citizenship
Successful residents can apply for Luxembourgish citizenship after five years of continuous residence. The final year before the citizenship application must be uninterrupted.
Applicants must also prove knowledge of the Luxembourgish language through an oral test and complete an integration course before receiving citizenship.
Luxembourg is drawing attention from wealthy non-EU investors looking for a foothold in Europe, offering a residence-by-investment route that can lead to residency in about six months and a possible path to citizenship after five years.
The programme is aimed at individuals willing to make a significant financial contribution to Luxembourg, one of Europe’s most stable and business-friendly economies. For investors, the appeal lies not only in residence rights but also in access to the European Union and the Schengen Area.
What the programme offers
The Luxembourg Residence by Investment Program allows eligible applicants to live in the country by making qualifying investments or, in some cases, by applying for residence for private reasons.
The benefits include visa-free access across the EU and Europe’s Schengen Area, a high quality of life, political stability, and investor-friendly rules. The programme also has no compulsory real estate purchase requirement.
Luxembourg’s corporate law framework allows relatively quick company formation, while the country offers no wealth tax and a favourable inheritance and capital gains taxation regime.
Investment options
Non-EU investors can qualify for residence by choosing one of four investment routes.
The first option requires a minimum investment of EUR 500,000 (₹5.56 crore) in an existing Luxembourg company involved in commercial, industrial or craft activities. The investor must also commit to maintaining existing employment for five years.
The second option also requires at least EUR 500,000 (₹5.56 crore), but in a new Luxembourg company carrying out commercial, industrial or craft activities. Under this route, the investor must create at least five jobs within three years.
A third option requires a minimum investment of EUR 3 million (33.37 crore) in an existing or new investment or management structure with a registered office in Luxembourg and appropriate substance.
The fourth option requires a deposit of at least EUR 20 million, or about ₹222.44 crore, in a financial institution established in Luxembourg. The deposit must be maintained for at least five years.
Residence for private reasons
Apart from the investment route, individuals from developing nations may apply for residence for private reasons. However, successful applicants under this route cannot be employed in Luxembourg.
Applicants must prove that they can support themselves financially. A regular income flow of at least EUR 27,000 per year (₹30.03 lakh) is required, and bank savings alone may not be considered sufficient.
They must also have permanent accommodation in Luxembourg, along with third-party liability insurance and property insurance for rented or purchased property.
Application process
Applications must be submitted through prescribed forms, along with the required fees and supporting documents. Applicants must also show their intention to reside permanently in Luxembourg.
Under the residence-by-investment route, the investment application is submitted to either the Ministry of Finance or the Ministry of Economy. If approved, the Ministry of Foreign Affairs examines the application for final approval. After that, the applicant must apply for a category D visa from their current country of residence.
For residence by private reasons, the application is submitted directly to the Ministry of Foreign Affairs. If approved, the applicant requests a category D visa from their current country of residence and collects it from the local consulate or embassy.
After approval
Once authorisation is granted, the applicant must travel to Luxembourg within 90 days. They must undergo a medical check, submit the residence permit application, and register with their commune of residence within three days of arrival.
Residence permits are initially valid for three years under the residence-by-investment route and one year under the private-reasons route. Renewals are subject to conditions, including proof that the applicant has spent a significant period in Luxembourg. For investors, this means at least six months in the country.
Path to citizenship
Successful residents can apply for Luxembourgish citizenship after five years of continuous residence. The final year before the citizenship application must be uninterrupted.
Applicants must also prove knowledge of the Luxembourgish language through an oral test and complete an integration course before receiving citizenship.