What's happened
Spain's Prime Minister Pedro Sanchez has announced the end of the 'golden visa' scheme, which granted residency rights to foreigners making large investments in real estate. The government aims to combat speculative investment in property, particularly in major cities, to improve housing accessibility for locals.
Why it matters
The decision to scrap the 'golden visa' scheme in Spain is significant as it addresses concerns of rising property prices and housing shortages, prioritizing the needs of Spanish residents over foreign investors. This move is likely to have a positive impact on the housing market and affordability for locals, potentially setting a precedent for other countries with similar schemes.
What the papers say
The Spanish government, led by Prime Minister Pedro Sanchez, has taken a firm stance against the 'golden visa' scheme, emphasizing the need to prioritize affordable housing for residents. While some critics argue that the scheme has led to property price hikes and speculation, others highlight the positive impact of ending the program on housing accessibility for locals.
How we got here
The 'golden visa' scheme was introduced in Spain in 2013 to attract foreign investment during economic struggles. However, the program has faced criticism for contributing to rising property prices and housing shortages, particularly in major cities. The decision to eliminate the scheme reflects a shift towards addressing housing affordability and combating speculative investment in the real estate market.
Common question
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