Latvia Ends Two Golden Visa Routes and Scraps Self-Employment Permits
Updated: 57 minutes ago
RIGA, October 27, 2026 — Latvia has closed two of its three residence-by-investment pathways and abolished self-employment as a grounds for temporary residence, part of a package of reforms that took effect on 15 September 2026.
The changes are set out in amendments to the Immigration Law, published by the Office of Citizenship and Migration Affairs (PMLP) and available in the Latvian legislation database at likumi.lv. They reshape a framework the government described as fragmented after years of incremental amendment.
The Investment Routes: Two Closed, One Shrunk, One Created
Latvia previously offered three routes to a temporary residence permit through investment. It now offers two, and neither is as generous as what preceded it.
Route | Status | Terms |
Real estate purchase | Abolished | Existing permits valid until expiry; may be extended once for five years |
Bank deposit | Abolished | Existing permits valid until expiry; may be extended once for five years |
Company investment | Retained | Reduced from five years to two years |
State investment fund | Created | EUR 150,000, held at least five years, five-year permit |
The company investment route remains available but is now materially less attractive. A permit issued for two years, where five were previously granted, changes the calculus for anyone treating Latvian residency as a medium-term arrangement.
The new fund route requires a minimum EUR 150,000 commitment held for at least five years in a state-established investment fund. That is a higher entry point than the deposit route it partly replaces, and the money is locked for the full period.
Transitional protection: holders of permits under the abolished real estate and bank deposit routes keep their existing permits until expiry, and may extend once for a further five years.
Self-Employment Is No Longer a Route
The abolition of the self-employment and individual merchant categories is the change with the widest practical reach, because it affects people who were not investors at all.
Existing permits in these categories cannot be extended. Holders must identify an alternative basis for residence — the start-up founder route being the most obvious candidate — or leave.
The reform effectively removes self-employment as an immigration pathway. For freelancers, consultants and sole traders who built their Latvian residence around their own business activity, there is no grandfathering beyond the current permit's expiry.
Permit Durations Now Track the Card
A mechanical change with administrative consequences: temporary residence permits are now granted for a period matching the validity of the residence card, rather than a flat five years.
The annual registration requirement for residence cards has been scrapped. That removes one recurring administrative task, but the trade-off is that anyone whose permit validity needs extending will file new applications more often.
In practice, the change aligns the legal permission with the physical document. Previously a permit could nominally run five years while the card covering it expired sooner, creating a mismatch that required separate handling.
Permanent Residence Becomes Simpler and More Valuable
Latvia previously operated two permanent residence statuses. They have been merged into a single permanent residence permit, and all newly issued permits will carry EU long-term residence status.
The practical effect is mobility. EU long-term residence status allows the holder to move to another member state for work or study under defined conditions — a right previously attached to only one of the two Latvian statuses.
The financial test has also changed. Applicants now demonstrate financial standing through savings rather than regular income. Previously, one of the two statuses required proof of ongoing income.
For anyone who holds assets but has irregular earnings, the new test is materially easier to satisfy.
Sponsors Face Stricter Screening
Employers and staffing agencies sponsoring foreign nationals for certain lower-skilled occupations can now be refused if the sponsor:
Has been established for less than six months
Is an inactive taxpayer
Has breached Latvian tax rules
The provision targets a specific concern the government has articulated: the use of Latvian immigration routes to supply labour to other EU member states while sidestepping tax and employment obligations in Latvia.
For legitimate employers, the change adds a due-diligence dimension. A newly incorporated subsidiary sponsoring its first foreign worker may face scrutiny it would not have encountered previously.
Processing Times Capped at Four Months
The total processing period — including any extension authorities grant — may not exceed four months from receipt of documents.
Previously, the clock could be extended repeatedly, with the overall period reaching up to a year where further assessment, including security checks, was required.
The cap gives applicants and employers something they did not have before: a defined outer limit for planning purposes.
The Integration Deadline Nobody Has Priced In
The change with the longest fuse takes effect on 31 December 2027.
From that date, foreign nationals whose temporary residence permit, or consecutive permits, total at least 18 months of validity will be required to meet Latvian integration requirements — specifically Latvian language skills and knowledge of Latvian history and culture.
At present, those requirements apply only to permanent residence permit holders.
This extends an integration obligation to a population that has never carried one: temporary residents on multi-year permits. Employers with staff on consecutive TRPs should map which employees will cross the 18-month threshold after the deadline and what language provision they will need.
What Employers Should Do Now
Audit self-employed permit holders. Anyone on a self-employment or individual merchant permit cannot extend. Identify affected staff and assess whether the start-up route, an employment-based permit or relocation is viable.
Re-run investment planning. The company investment route now yields two years, not five. Clients who modelled Latvian residency on a five-year permit need new assumptions.
Check sponsor eligibility if newly established. The six-month establishment rule and tax compliance test apply to certain lower-skilled sponsorship applications. Newly formed entities should confirm they qualify before filing.
Map the 18-month integration trigger. For employees on consecutive TRPs, calculate when they cross 18 months of cumulative validity and whether that falls after 31 December 2027.
Note the four-month ceiling. It applies to the whole process, including extensions. Files that previously ran to a year will now be decided within four months — or require explanation.
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Quick Reference Summary
Item | Detail |
Effective Date | 15 September 2026 |
Investment routes closed | Real estate; bank deposit |
Investment route retained | Company investment — now 2 years (was 5) |
New route | State investment fund, EUR 150,000, 5-year hold |
Transitional protection | Existing closed-route permits extendable once, 5 years |
Self-employment route | Abolished; existing permits not extendable |
TRP duration | Now matches residence card validity |
Annual registration | Abolished |
Permanent residence | Two statuses merged; all new grants are EU long-term residence |
Financial test | Savings accepted; regular income no longer required |
Sponsor screening | Refusal possible for new entities, inactive taxpayers, tax breaches |
Processing cap | 4 months total, including extensions |
Integration requirement | From 31 December 2027, for TRP holders at 18+ months cumulative |
Official sources |
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