During the first six months of 2026, Vanuatu generated 11.4 billion vatu (approximately $95.5 million) from its citizenship-by-investment (CBI) programs. That represents nearly 39% of the country's domestically generated government revenue, excluding foreign aid. If the current pace continues, 2026 could become Vanuatu's strongest year on record for passport sales.
The figures are particularly striking because many observers had expected the opposite. In December 2024, the European Union permanently revoked visa-free access to the Schengen Area for Vanuatu passport holders. The United Kingdom had already imposed visa requirements on Vanuatu citizens. Despite these setbacks, government revenue suggests demand for the country's CBI program has remained resilient.
What Happened
According to Vanuatu's Ministry of Finance, citizenship-by-investment programs generated 11.4 billion vatu during the first half of 2026.
That exceeded revenue from any individual tax category. By comparison, VAT collections were approximately 37% lower.
Overall, the government collected about 29 billion vatu in domestic revenue during the six-month period, excluding donor assistance. Nearly 39% of that total came from investment citizenship programs.
Finance Minister Johnny Koanapo also reported that the country ended the first half of the year with an operating surplus of 9.3 billion vatu and did not take on any new public debt.
Why It Matters
Revenue from Vanuatu's citizenship-by-investment programs has been climbing steadily for several years.
According to government data:
- during the first nine months of 2024, the programs accounted for roughly 22% of government revenue;
- over the same period in 2025, the share increased to more than 30%;
- by the first half of 2026, it had reached nearly 39%.
If collections continue at the current pace through year-end, total CBI revenue could exceed 22 billion vatu, comfortably surpassing the country's previous annual record.
Why Demand Remains Strong
The most notable aspect of the trend is that revenue continues to grow despite the passport becoming less attractive from a travel perspective.
In recent years, Vanuatu citizens have lost:
- visa-free access to the Schengen Area;
- visa-free access to the United Kingdom;
- some travel advantages related to Australia following changes to migration arrangements.
Even so, Vanuatu's program remains one of the fastest citizenship-by-investment schemes in the world. The minimum qualifying contribution starts at $130,000, and applications are typically processed within a matter of weeks.
According to immigration specialists, demand has not disappeared—it has evolved. Many investors now view a second passport primarily as a contingency plan against political or economic uncertainty, making processing speed more important than the number of visa-free destinations.
Questions Remain About the Data
The published figures contain several inconsistencies.
The original source notes that some publicly reported amounts may have mistakenly referred to millions rather than billions of vatu. In addition, the reported revenue, expenditure, and operating surplus figures do not fully reconcile mathematically.
In its recent consultation with Vanuatu, the International Monetary Fund (IMF) also noted that higher revenue may reflect not only increased demand but also changes in government accounting practices. The IMF recommended that authorities improve transparency around the administration of the country's citizenship-by-investment programs.
The Ministry of Finance has not yet released its full financial report for the first half of 2026, meaning some of the reported figures could still be revised.
What It Means
It is still too early to conclude that losing visa-free access to Europe has significantly reduced the appeal of Vanuatu's citizenship-by-investment program.
At least for now, government revenue tells a different story: the country is generating more income from passport sales than ever before. However, more definitive conclusions should wait until the full financial statements are published and the data has been independently verified.
