Mint Primer | Trump’s $5 million card: Will there be a gold rush?
The gold card, proposed by Trump, would cost $5 million and replace the EB-5 visa, aiming to attract wealthy immigrants to the US. It offers a pathway to citizenship without job creation mandates, targeting ultra-wealthy individuals and expected to generate significant economic investment.
US President Donald Trump has floated the idea of a ‘gold card’, which could replace the EB-5 visa programme and the green card, coveted by wealthy immigrants. It could be a passport to the prized US citizenship, but the cost is eye-watering. Mint explains:
What is the proposed gold card all about?
The gold card programme is an upgraded version of the existing green card, offering long-term residency as a pathway to citizenship. The initiative is also a way to make money for the US economy.
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“If we sell a million, that’s $5 trillion," Trump said, hoping that card holders will invest in the US, leading to a cascading impact on the economy. It will replace the existing EB-5 visa programme that started in 1990. EB-5 grants residency to investors who spend between $800,000 to $1.05 million on businesses that employ 10 or more people. In 5-7 years, they can apply for a green card.
How different is it from other schemes?
The gold card is an expensive way to US citizenship. Applicants will need to pay an eye-watering $5 million for the card. That comes to around ₹44 crore. The new card, however, eliminates the job creation mandate. Trump highlighted that the current immigration system has prevented top-flight international talent from staying and working in the US.
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“A person comes from India, China, Japan, lots of different places, and they go to Harvard, the Wharton School of Finance... They get job offers, but the offer is immediately rescinded because you have no idea whether that person can stay in the country," he said.
What was wrong with the EB-5 programme?
EB-5 has come under charges of fraud and misuse. The US Securities and Exchange Commission noted that funds earmarked for starting businesses and creating jobs under the programme were instead used to buy personal assets, like apartments in Manhattan. In some instances, the money raised from investors in the US to start a business was siphoned off to China.
Who will the gold card target, and when?
Pitched as a premium version of the green card, the gold card will go on sale in about two weeks. Trump expects millions of people around the world to sign up. It is likely to be a hassle-free option to attract rich immigrants and generate revenue for the government. Specifically, the new programme will target ultra-wealthy individuals because of the high price cap—the EB-5 visa programme, on the other hand, was more broad-based, attracting not only the very rich but also professionals in well-paid jobs.''
Can many Indians afford the gold card?
According to Credit Suisse, the number of dollar millionaires in India will more than double by 2026 to 1.63 million. This pool might join the queue for the card. Ironically, while India is poised to become the third-largest global economy, there’s been an exodus of wealthy Indians seeking foreign citizenship. International investment migration advisory firm Henley & Partners says 5,100 Indian millionaires relocated abroad in 2023. They now have another destination to consider for a new permanent home.
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