In a bold move to attract high-net-worth investors, the New Zealand government has announced sweeping changes to the Active Investor Plus (AIP) visa, set to take effect from April 1, 2025. These changes introduce two new investment categories—Growth and Balanced—offering more flexibility and incentivizing foreign capital into the country’s economy.
A Game-Changer for Global Investors
Economic Growth Minister Nicola Willis emphasized the importance of these reforms in stimulating economic growth: “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.”
The updated AIP visa introduces simplified pathways for investors by offering two distinct investment categories:
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- Growth Category – Focuses on higher-risk investments, including direct investments and managed funds. Requires a minimum investment of NZ$5 million over three years and a residency obligation of at least 21 days in New Zealand over three years.
- Balanced Category – Introduces lower-risk investment options with a minimum investment of NZ$10 million over five years and a stricter residency requirement of at least 105 days in New Zealand over five years. However, investing above the minimum amount in Growth investments can reduce the residency requirement.
Why This Matters?
The revised AIP visa aims to enhance New Zealand’s appeal as a top-tier investment destination by offering more favorable immigration conditions. Investor migrants opting for the Growth category will benefit from relaxed residency requirements and a shorter three-year investment period, in contrast to the five-year commitment required under the Balanced category.
For potential investor migrants, this means:
- Less stringent visa requirements than before.
- Greater investment flexibility tailored to different risk appetites.
- Faster pathways to residency for high-value investors.
New Zealand’s ‘Going for Growth’ Strategy
The timing of this announcement is strategic. It aligns with Prime Minister Christopher Luxon’s commitment to accelerating New Zealand’s economic growth, as showcased by the upcoming Global Investment Summit in March 2025. The event is expected to attract 100 of the world’s top investors, business leaders, and construction companies, underlining the government’s efforts to position New Zealand as a global hub for foreign capital.
“The Government is relentlessly focused on accelerating the growth New Zealand needs to lift our incomes, strengthen our businesses, and create opportunities for all Kiwis,” stated Prime Minister Luxon.
What’s Next?
Ongoing support will be provided to investor migrants under the revised AIP visa to ensure seamless integration into New Zealand’s investment landscape. Additional details on how these changes will impact current AIP visa applicants and those with applications approved in principle are expected to be released in early March 2025.