Case Note: CJEU's Commission V Malta — Rethinking Citizenship By Investment

CJEU rules Maltese naturalisation framework breaches EU law

Citation: Case C-181/23, CJEU (Grand Chamber), Judgment of 29 April 2025

Case Reference

Court: Court of Justice of the European Union (Grand Chamber)

Judgment date: 29 April 2025

Case number: C-181/23

Parties: European Commission (Applicant) v. Republic of Malta (Defendant)

Type of Action: Infringement procedure under Article 258 TFEU

1. Background

The case concerns Malta's 2020 investor citizenship framework, formally called "Citizenship by Naturalisation for Exceptional Services by Direct Investment" or NESDI. Under this framework, foreign nationals could apply for Maltese nationality by making substantial pre-determined financial contributions and fulfilling a residency status requirement of 12 or 36 months. This judgment follows the Commission's long-standing objections to what it calls '"golden passport" schemes', particularly those that grant nationality with minimal