Will Argentina’s citizenship scheme lure property buyers from mainland China and Hong Kong?

Argentina is eyeing a citizenship scheme to attract high-net-worth individuals, including those from mainland China and Hong Kong, according to analysts. In October, Buenos Aires introduced two investment routes: a US$350,000 contribution to the Treasury and a subscription to a US$800,000 government bond. Unlike other golden visa programs, Argentina's scheme does not require real estate as a qualifying asset.

Philippe Amarante, head of government advisory at Henley & Partners, said the country could appeal to internationally mobile investors looking for diversified residency, citizenship, investments, and business interests. The program could grant access to Mercosur, a trade bloc including Brazil, Paraguay, Uruguay, and Bolivia. Chinese citizens have been a major source of investment citizenship applications globally, representing about two-thirds of all applications from 2009 to 2019.

Argentine officials have expressed interest in attracting Chinese investors, given the country's trade relationship and investments in the lithium value chain. However, analysts caution potential applicants and property buyers to consider Argentina's uncertain economic recovery, fiscal situation, and aggressive taxation. They also advise evaluating the real estate market prospects, as the citizenship program may only have a modest impact in the short term on Argentina's real estate market.