The 2020 CBI Index: Debunking CBI – citizenship vs passports

As many immigration professionals know all too well, the process of obtaining citizenship of a country is often confused with the process of obtaining a passport. For instance, it is a common misconception that successful applicants for economic citizenship are simply handed passports upon the making of an investment — a notion that perpetuates the false impression that an applicant exchanges ‘cash for passports’.

In reality, while economic citizens can apply for and receive passports, this takes place after the grant of citizenship in a manner independent of the citizenship by investment (CBI) process. In European and Caribbean jurisdictions, the CBI process ends when an applicant receives a certificate of naturalisation or registration. After receiving such a certificate, it is the prerogative of the applicant to apply for a passport from the relevant passport office. 

Akin to the CBI process, the passport application process also requires the presentation of certain forms and documents, albeit to a lesser degree. However, this is overseen by the relevant passport office rather than by the ‘unit’ or other citizenship committee. Furthermore, while the CBI process must generally be undertaken through a government-authorised representative, the process of obtaining a passport can (but need not) be completed independently of any third party. 

Drawing a distinction between citizenship and passports is important. While passports are the property of the state, citizenship, on the other hand, belongs to the individual. Passports, for example, have a limited period of validity and must be renewed at regular intervals. Most CBI countries issue adult ordinary passports that are valid for 10 years, and child passports that are valid for five years. Passports can also be summarily cancelled, for example, if a country decides to add biometric features to its passports. Citizenship, however, is for life and can only be revoked in the most exceptional of circumstances. 

Types of passport

A successful CBI applicant may apply for and receive an ordinary passport. This is the most common type of passport and is issued as a form of identification and as a means to travel. 

Other types of passport include official and diplomatic passports. Official passports, sometimes called ‘service’ passports, are passports issued to government officials, and often their accompanying dependants, for work-related travel. Diplomatic passports are passports issued to accredited diplomats (and their accompanying dependants) for the purpose of official international travel. Neither official nor diplomatic passports are issued to economic citizens.

CBI vs diplomatic status

The use of permanent diplomatic representation is an established practice that can be traced to the late-Medieval Italian city-states. Despite the wide adoption and evolution of permanent missions, however, many small-island nations do not have the means or wherewithal to station embassies across the globe. Hence, for those countries, the issuance of diplomatic passports to persons who can take it upon themselves to become spokespersons for the nation is an essential tool.

It is unfortunately common for people to conflate the CBI process with the practice of issuing diplomatic passports. To suggest that CBI and the issuing of diplomatic passports are at all related is misguided. To echo a statement by the government of Grenada in December 2019: “The two are governed separately, and have their own rules for implementation, under clear policy guidelines.”

Firstly, diplomatic passports are issued only to diplomats — persons who, by virtue of their high international repute, have the ability to foster strong international relations and represent the interests of the state to which they are accredited. The diplomat’s citizenship is irrelevant to their ability to receive a diplomatic passport, meaning that diplomatic passports may be issued to citizens and non-citizens alike.

An individual who is not a citizen, but who receives a diplomatic passport, does not become a citizen of the country to which they are accredited. As such, any privilege conferred on the holder of a diplomatic passport is by virtue of that individual’s status as an accredited diplomat. Conversely, through CBI, a non-citizen receives citizenship of a country and thereby attains the same rights and duties afforded to all other citizens by virtue of that status alone.

Secondly, diplomatic passports — issued legitimately — are not done so in exchange for an investment or payment of any kind. In fact, payment for a diplomatic passport is an act that is condemned by the international community at large. CBI, however, is not only recognised, but a growing feature of the laws of nations, from the Caribbean to Europe, the Middle East, and Oceania.