WHY DOES TURKEY FAIL AS A NEW ENTRANT ON ECONOMIC CITIZENSHIP MARKET?

Öz

Economic citizenship is the fast track to a legal second passport in a short period by investment or donation. Recently, many countries including Turkey have launched their own citizenship by investment program or economic citizenship. This paper explains the failure of Turkish economic citizenship schema and weighs the cost-benefit analysis of economic citizenship in three aspects: visa free, marginal contribution and investment threshold aspects. There are 3 reasons of failures to attract foreign investors to economic citizenship: First, the return on investment is very low since one often needs to apply for the EU visa and 6 big English-speaking countries. Second, under the marginal contribution analysis, we eliminated the redundancy among passports and we calculated the additional benefits of a passport. Schengen visa free access passport is the main condition of this citizenship market. Third, under the investment analysis, Turkey began with 3 million USD deposit requests or 1 million USD real estate purchase above European (U.K., Cyprus, Portugal and Bulgaria) countries’ threshold.  

Anahtar Kelimeler

• Economic Citizenship,Turkey,Visa Free Countries,Investment,Schengen

Kaynakça

1. Arton Capital. (2018). Second Residency and Second Citizenship Cost. www.artoncapital.com Bachman, J. 2017. “The Most Desirable Passports On Earth Don’t Include America’s” https://www.bloomberg.com/news/articles/2017-03-03/the-most-desirable-passports-on-earth-don-t-include-americaBeck, K. (2017). Why Citizenship Is Now a Commodity. http://www.bbc.com/capital/story/20170530-why-citizenship-is-now-a-commodityBelize Company. (2018). Economic Citizenship Programmehttps://www.belizecompany.com/Regulators-and-Legislation/Economic-Citizenship-Programme/Brinker, T and Dalson, A. (2018). “Obtaining Economic Citizenship in the Caribbean: Can “Home” Be Bought?”. Journal Of Practical Estate Planning, April-May, p.21-24. Caribbean and Land Property. (2018). Second Passport & Economic Citizenship, http://www.caribbeanlandandproperty.com/offshore_company_offshore_banking/economic_citizenship. China Foreign Service. (2018). Visa Fees. http://www.china-embassy.org/eng/visas/fees/).Csglobalpartners. (2018). Second Citizenship Investment. www.csglobalpartners.com Curshen, J. (2006). Second Passport and Offshore Residency Programs, Royal Socıety Of Fellows Newsletter, August 2006, http://mfsfi nancial.com/royalsocietyoffellowsnewsletter/id6.html.Dhami, S. (2017). The Foundations of Behavioral Economic Analysis. Oxford University Press.DeVoretz, D. J. and Pivnenko. S. (2004). “The Economic Causes and Consequences of Canadian Citizenship”. IZA DP No. 1395Etias. (2018). Schengen Statistics. https://etias.com/about-etias/etias-key-factsGOCCP (2018). Citizenship and Residency Programs. www.goccp.com Goldenvisas (2018). Citizenship and Residency Programs. www.goldenvisas.comGoldencitizenship (2018). Citizenship and Residency Programs. www.goldencitizenship.comHoulder, V. (2016). “Citizenship Is For To The Wealthy”. https://www.ft.com/content/155936ec-2728-11e6-8ba3-cdd781d02d89Mazzoları. F. (2009). “Dual Cıtızenshıp Rıghts: Do They Make More And Rıcher Cıtızens?.” Demography, 46 (1), 169–191Henderson, A. (2018). Nomad Capitalist: How to Reclaim Your Freedom with Offshore Bank Accounts, Dual Citizenship, Foreign Companies, and Overseas Investments. Nomad Books.Henderson, A. (2017). Nomad Capitalist Flag Theory. www.nomadcapitalist.com Nationalpost (2018). St.Kitts and Nevis Loat Visa Free Access to Canada. http://nationalpost.com/news/world/greed-blamed-as-buy-a-passport-program-lands-st-kitts-and-nevis-off-canadas-visa-waiver-listOCCRP. (2018). “Bulgaria’s Golden Visas Missed Targets and a Banking Loophole.” https://www.occrp.org/en/goldforvisas/bulgarias-golden-visas-missed-targets-and-a-banking-loopholePassport Index. (2018). Passport Index Ranking. https://www.passportindex.org/St. Kitts & Nevis Citizenship by Investment Programme. (2018). Tax. www.skbfinancialservices.com/citizenship.php.St. Kitts & Nevis and Dominica Citizenship-by-Investment Programs. (2018). https://apexcapital.partners/caribbean/passports-purchase-open-citizenship-doors-around-world/Statista. (2018). “Average monthly rental cost for apartments in various European cities in 2018 (in U.S. dollars).” https://www.statista.com/statistics/503274/average-rental-cost-apartment-europe/Son Dakika. (2018). The Schengen Rejection Has Been Increased by 80%. https://www.sondakikaturk.com.tr/haber/amp/85406?__twitter_impression=trueStone, J. (2018). Serbia and Montenegro could join EU by 2025, European Commission says. https://www.independent.co.uk/news/world/europe/eu-enlargement-serbia-montenegro-macedonia-albania-kosovo-brexit-juncker-2025-a8197201.htmlXin Xu, Ahmed El-Ashram and Judith Gold (2015). “Too Much of a Good Thing? Prudent Management of Inflows under Economic Citizenship Programs”. IMF Working Paper, WP/15/93