Grenadian Citizenship for Americans: The Benefits of Second Citizenship

Grenada, a picturesque island nation in the Caribbean often referred to as the “Isle of Spice,” is famed for its nutmeg production, thriving tourism industry, and successful Grenada Citizenship by Investment (CBI) programme 2024. In the first half of 2024 alone, over 3,000 individuals obtained a Grenadian passport through investment. For comparison, 2,297 people secured citizenship in all of 2023, with 7% of applicants coming from the United States. Here, we outline how to obtain Grenadian citizenship through investment for Americans and why this Caribbean destination is becoming increasingly popular.

A Peaceful Place to Live

Not all Americans pursue Grenadian citizenship with relocation in mind. However, Grenada offers an idyllic setting for those seeking a tranquil retirement destination or a serene getaway.

English as the Official Language: Communication is seamless for English-speaking residents and visitors.

Safety: Grenada is one of the safest nations in the Caribbean, with crime rates significantly lower than in the United States.

Healthcare Excellence: Grenada’s healthcare system is highly rated by the WHO. St George’s University prepares medical professionals for the entire Caribbean region, adhering to international standards.

Free Basic Healthcare: While basic care is free, those accustomed to premium services can purchase private health insurance and use the region’s private hospitals.

A Welcoming Expat Community: Grenada’s vibrant expat network organises hiking trips through mountains, mangroves, and volunteers to maintain the island’s beaches and nature reserves.

British-Standard Education: Schools on the island follow British educational standards, with English-speaking teachers and a focus on sports like cricket, football, and basketball. There are also institutions offering single-gender education.

How to Obtain Grenadian Citizenship: Non-Refundable and Refundable Investments

Since 2013, Grenada has offered foreign nationals a path to citizenship through economic contributions. In 2024, the programme allows applicants to choose between non-refundable and refundable investments. Those opting for non-refundable contributions pay less but forgo any returns.

The process typically takes 8 to 10 months, with due diligence accounting for most of this timeline. During this period, investors are not required to transfer the full investment amount or visit the island. Applications are submitted by authorised agents, and passports are delivered by courier. Citizenship is permanent, with no renewal or residency requirements, meaning you retain your status even if you never set foot on the island.

Investment Option 1: Contribution to the National Transformation Fund (NTF)

• Minimum investment: $235,000

The NTF finances green energy initiatives and large-scale infrastructure projects that drive Grenada’s economic growth and enhance the quality of life on the island. For those considering Grenada as a long-term home, this contribution supports both the nation’s prosperity and their own future comfort.

Non-refundable contributions mark the end of the process once the funds are transferred. Applicants receive their passports via courier, becoming full citizens whose status is secure regardless of residence or income level. The only instances where citizenship may be revoked are in cases of fraudulent application or severe legal violations.

Astons, as a licensed agent of Grenada’s CBI programme, ensures that all documentation meets government requirements, providing you with peace of mind throughout the process.

Investment Option 2: Purchasing Shares in Major Real Estate Projects

• Minimum investment: $270,000 + $50,000 government fee

Citizenship through purchase of Grenada real estate involves refundable investments in government-approved developments such as hotels, resorts, villa complexes, and condominiums. By purchasing property, investors not only gain Grenadian citizenship but also secure a potential source of income. Upon project completion, investors begin receiving rental income, with Caribbean property experts estimating annual returns of 2-6%.

This option offers added lifestyle benefits, as many hotels provide shareholders with complimentary stays for 1-2 weeks per year or significant discounts for personal use.

Investors choosing this route must pay a 10% deposit on the property before completing the due diligence process. While this option may take slightly longer due to the number of stakeholders and required documents, it provides a dual benefit: second citizenship and a tangible, income-generating asset.

Successful applicants receive their Grenadian passports upon completing the property purchase. However, they are required to maintain ownership for at least five years. During this period, they must pay property and land taxes and ensure proper maintenance of their share in the development, typically managed by the operator. After five years, the property can be sold back to the operator, resold to new CBI participants, or retained for continued rental income.

Who Can Apply for Grenada’s CBI Programme?

Applications for Grenadian citizenship are accepted from individuals over 18 years of age who have no criminal record and no history of deportation or denied entry into the EU. The primary investor must demonstrate their good standing by providing a police clearance certificate and reference letters from banks or business associates. Both the applicant and their spouse are subject to thorough due diligence checks, which assess not only reputation but also the legitimacy of financial resources. Investors must prove that all funds used in the programme were acquired through lawful means.

Family members of the investor can also obtain citizenship without submitting separate applications or duplicating the full investment amount — only a nominal additional fee is required. Grenada is particularly popular among American investors seeking to include as many relatives as possible in their applications.

Grenada stands out as the only Caribbean nation that allows the inclusion of adult siblings of the primary applicant in the application. There are no age restrictions, but siblings must be unmarried and childless at the time of application.

Other eligible dependents include:

• A legally married spouse of the opposite sex (cohabitation or shared domestic arrangements do not qualify as proof of marriage in Grenada)
• Minor children
• Children up to the age of 30 who are financially dependent on the main applicant
• Parents or grandparents of the main applicant, also under the condition of financial dependence

One significant benefit of second citizenship for Americans in Grenada is the ability to pass citizenship to future generations. The grandchildren of the primary applicant automatically qualify for citizenship if their parents are Grenadian citizens. This inheritance feature is not widely offered by other Caribbean nations.

The total cost of obtaining citizenship depends on the number of dependents included in the application.

• For families of up to four, the cost does not increase.
• For each additional dependent, an extra fee ranging from $25,000 to $75,000 applies, depending on their relationship to the main applicant. Fees for elderly dependents are on the lower end, while those for siblings are higher.

Participants in Grenada’s CBI programme must also cover:

• Government processing fees;
• Due diligence fees: applicable to all applicants over the age of 17 and the spouse of the main applicant, even if the spouse is not applying;
• Stamp duties and legal fees.

Not Just a Passport, But a Potentially Lucrative Asset

Post-pandemic demand for Caribbean travel has rebounded rapidly. On booking.com, nightly rates for a two-person apartment in St George’s, Grenada’s capital, start at $150. Luxury villas can command several thousand dollars per night. For American investors and entrepreneurs, Grenada’s CBI programme offers the opportunity to capitalise on rising property values in the region. Holding a Grenadian passport can also reduce transaction costs for future property deals.

For example:

• Grenadian citizens pay a 5% tax when selling residential or commercial property.
• Foreign nationals pay a 15% tax and must also purchase a landholding license, costing 10% of the property’s value.

Another key advantage of Grenada is its mild climate. Unlike Florida, the island rarely experiences severe hurricanes. Even during the rainy season, temperatures remain pleasant — up to 77°F — winds are gentle, and rainfall is often followed by sunshine. This ensures that Grenada’s tourism season continues year-round, offering investors consistent rental income opportunities throughout the year.

Visa-Free Travel for Grenadian Citizens: Access to China, the UK, and Over 140 Other Countries

A second Grenadian citizenship simplifies business travel, offering visa-free access to China for Grenadian nationals for up to 30 days per year.

As a member of the Commonwealth of Nations, Grenada recognises the British monarch as its nominal head of state. There is a visa waiver for Grenada citizens when entering the United Kingdom, along with emergency assistance from British, Canadian, and Australian consulates abroad.

Grenadian citizenship is particularly advantageous for investors considering renouncing their US passport, as it preserves the ability to travel visa-free to a majority of the world’s destinations. In addition to visa-free access to the UK for Grenadian nationals, there are numerous visa-free countries for Grenada citizens in Europe, Asia, and Africa—over 140 nations in total. Grenadian citizens can spend up to six months per year in the UK and up to three months every six months in the EU.

Additionally, Grenadian citizenship for American investors facilitates travel to Canada. Under the Can+ programme, Grenadian passport holders can obtain a 10-year visa in just 5–10 days, provided they have previously held a US or Canadian visa. Canada may eventually eliminate visa requirements for Grenadians entirely, as it has already done for Antigua and Barbuda, Saint Lucia, and Saint Kitts and Nevis. Citizens of these countries with prior Canadian or US visas can now travel to Canada visa-free.

Tax Benefits for Grenadian Citizens

Holding a Grenadian passport does not automatically create tax obligations. The country offers substantial tax benefits for Grenadian citizens where payments are based on income sources, not residency status or citizenship. Taxes in Grenada apply only if you:

• Earn income from a local employer or other domestic sources;
• Own property or motor vehicles on the island.

Grenada has just two tax rates:

• 10% on income up to $8,800
• 28% on income above that threshold

Income earned and stored abroad is not monitored or taxed by the Grenadian government. If you have no assets or income sources in Grenada, you will not be subject to local taxes.

One of the benefits of Grenada citizenship for American entrepreneurs is the opportunity to move a business to Grenada to retain more of their profits. Companies registered in Grenada that pay dividends to residents (individuals living in the country for over 183 days per year) are exempt from tax on those payments. The same applies to interest earned from local banks. For non-residents, a portion of these payments is withheld by the state.

Grenada does not impose taxes on:

• Inheritance
• Capital gains
• Wealth or luxury
• Gifts

For Americans earning up to $120,000 annually, moving to Grenada under the second citizenship programme offers substantial tax benefits. The US Foreign Earned Income Exclusion allows expatriates to receive a tax credit, reducing their US tax burden. On the island, they would only pay taxes on vehicles and real estate, if purchased for personal use instead of being rented.

Why Choose Grenadian Citizenship?

Grenada citizenship programme for investors grants Americans greater travel freedom, reduces tax liabilities, and offers the flexibility to relocate to a peaceful tropical paradise at any time. Still unsure if Grenadian citizenship is the right choice for you? Reach out to Astons’ expert consultants, who will explain to you how to obtain Grenadian citizenship by investment and help you select the best CBI programme for your family.

FAQ

How can Americans obtain Grenada citizenship through investment?

Americans can obtain Grenada citizenship through investment by either making a non-refundable contribution to the National Transformation Fund (starting at $150,000 for a single applicant) or by investing in real estate in Grenada, with a minimum investment of $220,000 in government-approved properties. The process typically takes 4 to 6 months.

What are the benefits of Grenada citizenship for Americans?

Grenadian citizenship offers Americans visa-free travel to over 140 countries, including the UK, China, and the Schengen Area. Additionally, Grenada has a favorable tax system, including no tax on worldwide income, inheritance, or capital gains, and it provides the possibility of passing citizenship to future generations.

Does Grenada offer visa-free access to the UK for its nationals?

Yes, Grenadian citizens have visa-free access to the UK, which is a significant benefit for business and travel purposes.

What countries can Grenadian citizens visit without a visa?

Grenadian citizens can visit over 140 countries without requiring a visa, including popular destinations like the UK, the Schengen Area countries, China, Hong Kong, Singapore, and several other Caribbean nations.

How can U.S. entrepreneurs benefit from Grenada citizenship?

U.S. entrepreneurs can benefit from Grenada citizenship by gaining easier access to international markets, particularly in the Caribbean and Asia. The ability to travel visa-free to countries like China and the UK can be valuable for expanding business opportunities. Additionally, Grenada’s favorable tax policies can help reduce overall business expenses.

What are the tax benefits of Grenadian citizenship?

Grenada offers several tax benefits, including no tax on worldwide income, capital gains, or inheritance. This makes it an attractive option for those looking to minimize their tax burden while still maintaining global business interests.

How does purchasing Grenada real estate grant citizenship?

Purchasing Grenadian real estate valued at a minimum of $220,000 in approved developments grants eligibility for citizenship through investment. The property must be held for at least five years before it can be sold, but the investor retains citizenship.