TL;DR
There are 4 paths to a second passport: investment (from 130,000 USD), ancestry (free, 1-3 years), permanent residency (5-10 years), and marriage (3-5 years). After Portugal and Spain, Malta also shut down its investment citizenship in July 2025. Following an EU court ruling, no member state currently offers an EU passport through pure investment anymore. Germans leaving the country must plan for exit taxation (Section 6 AStG).
A second passport is not a James Bond fantasy but a practical tool for many: tax optimization, a Plan B for political uncertainty, travel freedom, or simply the option to live somewhere else. But the landscape has changed massively between 2024 and 2026.
Portugal ended its Golden Visa, Spain followed, and the EU is tightening rules on investment citizenship. This article shows you which programs still work as of 2026, what they cost, and which pitfalls most people overlook.
The 4 Paths to a Second Passport
Not every path fits everyone. Here are the fundamental options, sorted by speed and cost:
| Path | Cost | Timeline | Best for |
|---|---|---|---|
| Investment citizenship | 130,000-400,000 USD | 30 days - 6 months | Wealthy with time pressure |
| Ancestry | 3,000-10,000 EUR | 1-3 years | Those with European ancestors |
| Permanent residency | Variable | 5-10 years | Those planning to relocate anyway |
| Marriage | Low | 3-5 years to passport | Those with a foreign partner |
Which Programs Still Work in 2026
After the end of Golden Visas in Portugal (2023) and Spain (2025), plus the shutdown of Malta's investment citizenship (July 2025), the selection has shrunk further. These programs are active as of September 2026:
Citizenship by Investment
- St. Kitts & Nevis: 250,000 USD contribution to the Sustainable Island State Contribution, which replaced the earlier Sustainable Growth Fund. Passport in 4-6 months. Visa-free access to 156 countries, though Ireland withdrew visa-free entry for St Kitts citizens effective 15 June 2026, and the EU has been reviewing similar action since November 2025.
- Dominica: 200,000 USD contribution to the Economic Diversification Fund, raised in June 2024 from 100,000 USD previously. Passport in 3-4 months. Visa-free to 144 countries.
- Vanuatu: 130,000 USD, still the cheapest and fastest program worldwide: passport in 30 days possible. The EU permanently removed Vanuatu from its visa-free list in December 2024 (Regulation (EU) 2025/11). The passport no longer covers Schengen or the United Kingdom and now opens around 88 countries instead of the previous 98.
- Turkey: 400,000 USD property (3-year hold requirement). Citizenship in 3-6 months. Bridge between Europe and Asia.
- Malta: Investment citizenship (MEIN) has been discontinued since 24 July 2025, after the European Court of Justice ruled on 29 April 2025 that the program violated EU law (Case C-181/23). As a result, no member state currently offers a direct EU passport through investment. What remains is the Malta Permanent Residence Programme (residency, not a passport, from 375,000 EUR in property) and the new, non-purchasable Citizenship by Merit for exceptional achievements.
Residency Programs (without citizenship)
- Panama (Friendly Nations Visa): 5,000 USD in a Panamanian bank account. Permanent residency. One of the easiest paths worldwide.
- Paraguay: 5,000 USD bank deposit. Permanent residency in 3-6 months. No residency requirement. Citizenship after 3 years possible.
- Dubai (Freelancer Visa): ~1,000 EUR/month total costs. 1-3 year residency permit. No income tax but high cost of living.
- Portugal (NHR successor): Still available as residency without investment. Tax benefits through special status (10-year reduced tax rate on foreign income).
Citizenship by Descent
- Ireland: Grandparent rule. If a grandparent was Irish, you can register. EU passport. Free except for fees.
- Italy: Jure Sanguinis, no generational limit. If your great-great-grandfather was Italian and never renounced citizenship, you qualify. Takes 1-3 years, faster through Italian consulates in South America.
- Poland: Similar to Italy, descent across generations. Particularly relevant for descendants of displaced families.
Exit Taxation: What Germany Collects When You Leave
The topic most people underestimate: when you leave Germany, exit taxation under Section 6 AStG may apply under certain conditions.
- When it applies: At least 7 years of German tax residency in the last 12 years and holdings in corporations of 1% or more.
- What happens: Deemed disposal of all shares upon exit. You pay taxes on gains you never realized.
- Also applies to fund shares since 2025: Since January 1, 2025, Section 6 AStG also covers shares in investment funds and ETFs if the acquisition cost in a single fund is at least 500,000 EUR or you hold at least 1% of the fund. The threshold applies per fund, not to your total portfolio. Clarify this with a tax advisor.
- Deadline: 7 years after exit. If you return within that period, the tax is waived. After that, it is final.
- Within the EU: Deferral possible (interest-free), but security deposit may be required.
A tax advisor is mandatory
Exit taxation is complex and the cost of mistakes is high. Anyone emigrating with more than 100,000 EUR in assets needs a tax advisor with international experience. Do not save money here.
Realistic Timeline and Honest Costs
| Path | Duration | Total Cost |
|---|---|---|
| Ancestry (Ireland, Italy, Poland) | 1-3 years (+ research) | 3,000-10,000 EUR |
| Investment (Caribbean, Vanuatu) | 30 days - 6 months | 130,000-250,000 USD |
| Investment (Turkey; Malta discontinued July 2025) | 3-6 months | from 400,000 USD |
| Residency-based | 5-10 years | Cost of living on-site |
| Marriage | 3-5 years | Low (fees only) |
Hidden Costs Everyone Underestimates
- Lawyer: 5,000-15,000 EUR: Specialized immigration lawyers in the target country. Often mandatory for investment programs, strongly recommended for ancestry claims.
- Travel: 2,000-5,000 EUR: In-person appointments, document submissions, biometric meetings. Multiple trips to the target country are normal.
- Translations / apostilles: 500-2,000 EUR: Certified translations of all documents, apostilles (international authentication), civil registry certificates.
- Lost time: 100-200 hours: Research, document hunting, government office visits, waiting times. This is the most underestimated cost.
Ancestry is the cheapest path
Total cost 3,000-10,000 EUR for an EU passport. If you have Irish, Italian, or Polish ancestors, this is your best lever. Research your family history thoroughly before spending money on other programs.
Honest Assessment: Do You Really Need a Second Passport?
The German passport is one of the strongest worldwide (rank 4 in the 2026 Henley Passport Index, visa-free to 185 countries). A second passport is worth it mainly if:
- You want to legally relocate your tax residency (e.g., to Portugal, Dubai, Paraguay)
- You need a Plan B for political or economic crises in the EU
- You want to live and work in a country outside the EU (e.g., USA, Caribbean, South America)
- You need access to banking systems in other jurisdictions
Residency is often enough
For many purposes you do not need a second passport, just a residency permit. Panama, Paraguay, or Portugal give you living rights and bank access without giving up German citizenship.
Frequently Asked Questions About Second Passports and Residency
Do I lose my German citizenship if I acquire a second one?
Since the 2024 reform, Germany generally allows multiple citizenships. You do not automatically lose German citizenship when acquiring another. However, check the target country's laws: some do not allow dual citizenship.
Can I live in the EU with a Caribbean passport?
No. A Caribbean passport grants visa-free entry to the EU (90 days) but no right to reside or work. To live in the EU, you need either an EU passport (Malta, ancestry) or a separate residency permit.
How long does Italian citizenship by descent take?
Through the Italian consulate in Germany: 2-4 years (waiting list). Through a municipality in Italy (requires 3-month stay): 3-6 months. Through consulates in South America (Buenos Aires, Sao Paulo): often faster than in Europe.
Do I have to pay taxes in my second country?
A passport alone does not trigger tax liability. Tax obligations arise from residency or habitual abode (183-day rule). As long as you live and work in Germany, you pay German taxes regardless of how many passports you hold.
Is Malta worth it as an EU passport program?
No, the program no longer exists: the European Court of Justice ruled Malta's investment citizenship (MEIN) unlawful under EU law on 29 April 2025, and Malta discontinued it for good on 24 July 2025. If you have no ancestry claim to an EU passport, no EU country currently grants citizenship through investment. What remains are residency programs such as the Malta Permanent Residence Programme (living rights, not a passport, from 375,000 EUR in property) or regular naturalization after years of residence.