Austrian Citizenship 2026: The Planned B2 Reform and Why CBI and Residency Are Now Strategic Alternatives

What exactly is Austria planning in its 2026 citizenship reform?

The planned reform responds to two political lines: first, the OVP's aim to make integration more measurable, and second, the SPO's aim to frame naturalisation as a deliberate civic step. The B2 language level corresponds to the ability to express oneself clearly and in detail on complex topics, well above today's B1 standard, which already presents a hurdle for many applicants.

The OIF's new integration course is intended to test knowledge of values relating to the constitution, democracy, Austrian history and the legal system in a more structured way than today's citizenship test. A standardised course structure across several modules and a final exam with a higher pass-rate requirement are under discussion.

These changes come on top of requirements that already apply today: ten years of uninterrupted primary residence, sufficient income without reliance on social assistance, no criminal record, health insurance, and, in most cases, giving up one's previous citizenship.

When is the reform expected to take effect?

We recommend that DACH HNWIs who realistically expect to apply for Austrian citizenship within the next twelve to eighteen months review their application planning now. An application already pending is assessed under the requirements in force at the time it was filed, unless the new law includes an explicit retroactivity clause.

What requirements apply today, and what stays the same?

Three structural hurdles make Austrian naturalisation particularly difficult for internationally mobile HNWIs:

• Dual citizenship is the exception. Anyone taking Austrian citizenship must generally give up their previous one. The retention application must be filed before accepting a foreign citizenship and is only approved in special cases (private or public interest).
• The uninterrupted primary residence requirement is strictly interpreted. Extended periods abroad can break the residence chain, a point that regularly becomes a problem for HNWIs with business interests in several countries.
• The investor path under Section 10(6) of the Citizenship Act requires "extraordinary services in the special interest of the Republic". Interpretation is restrictive; in practice only a handful of such naturalisations are granted each year, often after years of investment and employment activity in Austria.

Why is Austrian citizenship difficult to reach for HNWIs in any case?

The Austrian passport offers visa-free or visa-on-arrival access to around 190 destinations worldwide, placing it among the world's strongest travel documents. On the travel side, then, the passport is extremely strong. The route to obtaining it, however, remains one of the longest and most test-intensive in the EU.

In practice this means for DACH HNWIs: anyone who wants an Austrian passport as a plan B must accept a ten-year presence, language and integration commitment, and in most cases give up German or Swiss citizenship. For most of our clients this is not an acceptable trade-off.

What does the reform mean for DACH emigrants with a plan-B strategy?

In practice we advise on three strategic setups that work well:

1. The settlement permit for "persons without gainful employment" in Austria (a quota of around 400 places per year, secure passive income required, no access to the labour market). This secures residence and quality of life in Vienna, Salzburg or Tyrol, while citizenship is secured separately through CBI.
2. Swiss lump-sum taxation as a tax anchor (CHF435,000 federal minimum, 20 cantons still offer it) combined with Caribbean CBI as a legally sound second passport for travel and structuring benefits.
3. A non-EU residency base such as the UAE Golden Visa, which, unlike an EU investor programme, gives DACH clients a genuinely useful physical residence outside the EU without requiring them to give up EU free movement.

In all three setups, Austrian citizenship is not the primary vehicle for the plan-B passport, but an optional long-term goal that can be pursued once CBI cover is already in place.

Which CBI programmes are the fastest alternatives?

From our advisory practice, the following are especially relevant for DACH HNWIs:

• Grenada CBI, a USD235,000 donation or property from USD270,000, four to six months' processing, the US E-2 treaty, and visa-free access to China. The first choice for clients with US business plans.
• St Kitts & Nevis CBI, a USD250,000 donation (SISC), the world's oldest programme (since 1984), with high standing among international banks. Four to six months.
• Dominica CBI, a USD200,000 donation, the lowest entry price among the established Caribbean programmes, six to nine months.
• Antigua & Barbuda CBI, a USD230,000 donation, five days of residence required after naturalisation, family-friendly structuring.
• St Lucia CBI, a USD240,000 donation, a modern programme with transparent due-diligence processes.

All five programmes allow spouses, children and, in most cases, parents and siblings to be included in the application. Unlike Austrian naturalisation, dual citizenship is permitted without restriction; clients keep their German, Austrian or Swiss citizenship.

Why is Malta MPRP not an option for Austrian and other EU HNWIs?

An important point of context: Malta's old Citizenship by Investment programme was closed anyway in April 2025, and even during its active period the MPRP never led directly to Maltese citizenship. DACH HNWIs seeking residence in Malta need only register through the ordinary EU-citizen process. Anyone instead looking for a genuine second passport independent of the EU as a plan B will find this more efficiently through Caribbean CBI programmes or the UAE Golden Visa (see below), both of which are open to DACH nationals regardless of their EU freedom of movement.

Why is the Portugal Golden Visa not a plan B for Austrian and other EU citizens?

For DACH HNWIs looking for a genuine second passport independent of the EU, the faster and legally cleaner solution remains Caribbean CBI citizenship (four to twelve months) or, for a residence base outside the EU, the UAE Golden Visa. Anyone who simply wants to live in Portugal does so as an EU citizen through the ordinary EU registration process, not through an investor programme.

What role does the UAE Golden Visa play as a non-EU residence anchor?

Processing takes two to three months, with no minimum-stay requirement to maintain it. For clients already active in business in Dubai, combining the UAE Golden Visa with Caribbean citizenship is often the most efficient plan-B structure, one that works entirely independently of the Austrian reform.

What role does Swiss lump-sum taxation play in this setup?

An important nuance for German clients: a German national who moves to Switzerland and chooses lump-sum taxation there is, under the German-Swiss double taxation agreement, not treated as resident in Switzerland, which extends Germany's extended limited tax liability under Section 2 AStG from five to ten years. Mirabello Consultancy advises on the correct sequencing: ordinary Swiss taxation for the first five years, then an optional switch to lump-sum taxation. This is not legal or tax advice but a strategic structuring recommendation; final implementation belongs in the hands of qualified tax lawyers in both countries.

How does Mirabello Consultancy help with choosing a strategy?

At Mirabello our advisers work in seven languages, German, English, Arabic, Spanish, Russian, Chinese and Italian, and understand the particular circumstances of Austrian, German and Swiss HNWIs. Our membership of the Investment Migration Council (IMC) and our ACAMS certification are the formal pillars of our compliance standards; the real point of difference lies in the discreet, personal handling of every single mandate.

If you would like to work out concretely what the planned Austrian reform means for your own strategy, arrange a free initial consultation with our team. We analyse your starting position, nationality, wealth structure, residence goals and family situation, and develop a three-to-five-year roadmap that brings settlement, citizenship and tax residence together in one consistent picture.

For binding, independent information, consult the official portal of the Republic of Austria (oesterreich.gv.at) and the Investment Migration Council (IMC).

Frequently Asked Questions: Austrian Citizenship 2026

What is changing for Austrian citizenship in 2026?

Under the OVP-SPO-NEOS coalition's government programme, a 2026 reform is planned that raises the required German level from B1 to B2 and introduces a mandatory OIF integration course as a naturalisation requirement. No concrete legislative draft exists yet; implementation is expected during the course of the year.

Does the ten-year residence route remain in place?

Yes. The regular period of around ten years of lawful residence before naturalisation remains unchanged as things currently stand. The planned changes mainly affect the language and integration requirements.

What plan-B options exist for German-speaking HNWIs?

For wealthy individuals seeking additional mobility or a second passport independent of the EU, Caribbean citizenship by investment is the fastest proven option. As EU citizens, Austrians, Germans and other EU nationals already have freedom of movement across the Union; EU residency programmes such as Malta MPRP or the Portugal Golden Visa are intended for third-country nationals and bring them no additional benefit. For a tax-efficient residence outside the EU, the UAE Golden Visa is worth considering. Mirabello Consultancy advises neutrally and individually on the right solution.

Is the Austrian settlement permit still attractive?

For many HNWIs the settlement permit remains a high-quality residence option. However, it does not lead efficiently to citizenship, so early, holistic planning pays off.

How do I get started with Mirabello Consultancy?

Arrange a free, no-obligation initial consultation. As a Zurich-based boutique advisory firm with IMC and ACAMS certification, we guide you discreetly and with Swiss precision from strategy through to application. Book your free consultation now.