Investing in Vanuatu's Coconut Oil Fund

Program Features

Before discussing the program's features, it's worth explaining why the country's government decided to launch this unique state project. By 2030, Vanuatu's leadership has set a goal of generating 100% of its electricity from renewable sources. What does coconut oil have to do with it?

First, it plays an important role in electricity generation (it is used in producing biodiesel fuel, which is then used to generate electricity). Using coconut oil reduces dependence on petroleum products and makes it possible to shift toward more sustainable, environmentally friendly energy sources.

Second, developing this industry has a positive effect on economic growth.

To obtain official status, foreign investors need to contribute $165,000 to shares in the holding company CNO Future Fund. This amount applies to a family of four. If the investor's family is larger, an additional $25,000 is required for each additional member.

Shares in the CNO Future Fund can be purchased by investors who register an international company in Vanuatu.

After five years, the investor can get back $50,000. The rest of the amount stays in the coconut oil fund's budget.

The Coconut Oil Fund: History

Vanuatu's Coconut Oil Fund is a government initiative aimed at developing coconut oil production as an environmentally friendly fuel.

In 2014, the country's government had already launched a program with the same name. It was active for two years and ceased operations in 2016.

Last year, the issue of coconut oil production came back into focus. To achieve its economic development goals, Vanuatu's government decided to involve citizens of other countries in this process.

What outcome does the country's leadership expect from the program? Vanuatu is becoming a model of sustainable development and climate action thanks to its natural resources and strategic partnerships. This initiative represents an important step toward an environmentally friendly future, both for the country and for the world.

Advantages of Obtaining Citizenship by Investing in the Coconut Oil Fund

Vanuatu is a Pacific nation made up of 83 islands stretching 2,528 kilometers along the coast. Most of the islands have a humid tropical climate.

A favorable location and a fairly mild climate are not the country's only advantages.

Citizens of many countries can stay in Vanuatu visa-free for 90 days. A visa is required for longer stays. If a foreign national wants to be able to live in the country without restrictions, they should consider obtaining official status.

A Vanuatu passport gives investors the following advantages:

• fast processing: on average, a passport can be obtained in 2-3 months (there is no need to pass exams on history or the national language);
• investment security: foreign investors can only purchase shares in the coconut oil fund after approval from Vanuatu's Citizenship Commission;
• partial return of investment: $50,000 can be returned after 5 years;
• EU residence permit: Vanuatu citizens can obtain a European residence permit (this right applies even in situations where the chosen European country does not accept residence permit applications from foreign nationals);
• the ability to include close relatives in the application: the passport is issued not only to the main applicant, but also to their spouse, children up to age 25, and parents;
• keeping your first citizenship: obtaining official status does not require investors to give up their previous passport (this applies as long as the laws of the country of origin allow it);
• visa-free travel to more than 90 countries around the world;
• a simplified process for obtaining a US tourist visa, which allows staying in the country for up to 180 days a year;
• tax optimization for business: there is no tax on profit, capital gains, gifts, or inheritance (instead, legal entities and company shareholders pay 300 euros a year).

A Vanuatu passport also provides the option of creating a "backup option" in case of unforeseen economic or political situations in one's home country.

If for any reason you do not wish to invest money in developing the Coconut Oil Fund but want a passport from a country that covers the main immigration requirements, take a look at Vanuatu's other programs.

As an alternative, citizens of foreign countries can invest money in the National Development Fund and obtain citizenship of this island nation.