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The European Commission has officially closed its legal case against Cyprus over the country’s controversial “golden passport” program, marking what officials describe as the end of one of the island’s most damaging political scandals in recent years.
In a statement released Wednesday, authorities said Brussels informed Cyprus that it was terminating the infringement procedure linked to the now-defunct Cyprus Investment Programme (CIP), which allowed wealthy foreign investors to obtain Cypriot and, therefore, European Union citizenship.
The program was abruptly shut down in 2020 after mounting criticism and international scrutiny, with the European Commission ruling that granting citizenship in exchange for investment violated EU law.
Since then, Cyprus has taken a series of corrective steps, including investigations into how passports were granted, legislative changes, and the revocation of some citizenships deemed improperly issued. Officials say those actions convinced the Commission that the country had brought itself into compliance.
The Legal Service welcomed the decision as a “very positive development” for Cyprus, signaling that the long-running dispute with Brussels has finally been resolved.
For many observers, however, the announcement closes a chapter that left a lasting mark on the country’s reputation. The citizenship scheme, once promoted as a fast track for foreign investment, drew global headlines after allegations that politically exposed figures and individuals facing legal questions were able to secure EU passports.
An investigative committee appointed in 2020 examined the program’s operation, leading the government to begin stripping citizenship from some recipients. Cyprus also amended its laws in cooperation with European authorities, a move the Commission had made a condition for ending legal proceedings.
Despite the legal closure, the program remains a sensitive topic domestically, often cited as a symbol of excess during a period when luxury developments flourished and criticism over oversight grew louder.
The European Commission’s decision means Cyprus avoids further legal escalation that could have ended before the EU’s top court. Still, while Brussels may consider the matter settled, public debate over the legacy of the “golden passports” is unlikely to fade anytime soon.
