Updated - Adds prime minister's comments on video above.
Prime Minister Joseph Muscat has defended a scheme which will enable investors to buy Maltese citizenship, explaining that the facility was also allowed in other countries such as Austria.
This, he said, was the difference between having a prehistoric economy and one which was forward looking.
"We do not want to miss the bus," he said.
The Government expects to generate €30 million in one year from a scheme to allow wealthy foreigners to buy Maltese citizenship.
Details of the planned amendments to the Citizenship Act were leaked yesterday.
The amendments refer to the introduction of an “Individual Investor Programme” for non-EU citizens. Successful applicants for this programme must pay a €650,000 fee that includes a non-refundable deposit of €10,000.
They must also pay €25,000 for their spouse to acquire citizenship and a further €25,000 for each child under 18.
We are not into selling this right cheap
Citizenship for unmarried children between the ages of 18 and 25 and dependent parents aged 55 and over will cost a further €50,000 each.
Successful applicants will be granted citizenship by a certificate of naturalisation to foreigners and their families who “contribute to the economic development of Malta”.
In an interview with financial news organisation Bloomberg last week, Dr Muscat said: “We are interested in bringing in all those who are reputable people, who are willing to take up residence in Malta.”
‘Positive impact’ of plans
But he added: “We are not into selling this right cheap... in the next few months we will be issuing what I believe will be new exciting programmes on residency and even citizenship.”
A spokesman for the Office of the Prime Minister last night confirmed that it had circulated the draft amendments to the Citizenship Act, as well as regulations that will control the operation of the Malta Individual Investor Programme, to the Opposition.
“In doing so, we have initiated a dialogue which we hope will result in consensus based on the national interest,” he said.
“In such circumstances, the Government will try to afford every opportunity to the Opposition to consider the positive impact that this will have on Malta’s future.”
The draft bill, which has yet to be published in the Government Gazette, includes a variety of measures to deter undesirable applicants. Those wanted by Interpol or indicted by the International Criminal Court, for example, need not apply.
There are many examples elsewhere in Europe
However, the draft bill allows for ministerial discretion when applicants “may be subject to politically motivated charges or convictions.”
Similarly, those with criminal records or subject to criminal investigations are ineligible “unless Identity Malta is satisfied that the applicant is still worthy of being considered for approval due to special circumstances”.
Identity Malta is an agency within the Home Affairs Ministry that was set up last month by Legal Notice. It incorporates the departments responsible for passports, identity cards, work and residence permits for foreigners, the land and public registries and acts of civil status.
The agency is headed by Joe Vella Bonnici, an economist and former Labour candidate.
Wealthy foreigners who purchase Maltese citizenship will also acquire EU citizenship, allowing them freedom of movement across member states.
Critics fear that the scheme will attract unsavoury characters looking to buy a foothold in the EU.
A spokesman for the Prime Minister said: “There are many examples elsewhere in Europe and the rest of the world where similar programmes operate.
“While the Government does not anticipate any action to be taken by the European Commission or other institution, any attempt to diminish Malta’s sovereign right to grant citizenship would be met with a robust defence based on principles which have been established and agreed in international law.”