A second passport can be a useful tool, but the benefits are often overstated. The case of North Macedonia’s citizenship‑by‑investment (CBI) program illustrates common misconceptions and helps clarify what to look for when evaluating any CBI offer.
What a passport actually delivers
| Claim | Reality |
|---|---|
| Visa‑free access to the Schengen area | North Macedonia grants visa‑free travel to about 125 countries, including the Schengen zone. This is comparable to many Caribbean passports, which already enjoy the same EU visa‑free status. For most travelers, a single‑entry visa or a residence permit is a straightforward alternative, so the marginal gain is limited. |
| Zero income tax for residents | The “zero‑tax” promise applies only to non‑residents. If you remain a tax resident of the United States, Canada, Australia, etc., you must still report foreign income and entities to your home tax authority. Merely holding a North Macedonian passport does not shield you from home‑country taxes. |
| Easy company formation | Setting up a company in North Macedonia is no more advantageous than forming an LLC in the United States. The real benefit of a CBI is not the ability to incorporate; any jurisdiction allows company registration without citizenship. Moreover, U.S. citizens must disclose foreign corporations, negating any tax‑avoidance advantage. |
| “Gateway” to Europe | While a Macedonian passport offers direct entry to the EU, the same access can be achieved through residence permits, real‑estate investment, or other EU‑country CBI schemes. The passport alone does not guarantee future EU membership or additional benefits beyond travel. |
Cost and speed
- Price – The North Macedonian program costs roughly €200 000, which is higher than many Caribbean CBI options that can be obtained for €100 000–€150 000.
- Processing time – The program is slower than most Caribbean schemes, with limited transparency on approval rates. Some applicants have reported receiving a passport without a formal approval, indicating an under‑developed administrative process.
When a second passport makes sense
- Backup travel document – If your primary passport is weak (e.g., limited visa‑free access), a second passport can reduce the need for frequent visa applications.
- Residency‑based benefits – For individuals who plan to live or invest long‑term in a specific region, a residence permit (often cheaper and faster to obtain) may be more appropriate than full citizenship.
- Diversifying banking relationships – Certain banks may prefer clients with non‑U.S. passports, but the difference between a North Macedonian and a Caribbean passport is usually negligible.
Practical checklist for evaluating any CBI program
- Define the primary goal – Travel freedom, tax planning, investment, or a safety net? Align the passport’s features with that goal.
- Compare costs – Look at total outlay (application, due diligence, investment) versus comparable programs.
- Assess processing reliability – Verify approval rates, government involvement, and the existence of a formal legal framework.
- Consider residency alternatives – Real‑estate purchase, long‑term visas, or “golden visas” may provide similar benefits at lower cost.
- Check tax implications – Ensure you understand how your home‑country tax rules interact with foreign citizenship and any foreign entities you might create.
- Evaluate long‑term stability – Political and economic outlook, potential EU accession, and future tax policy changes can affect the passport’s value.
Bottom line
North Macedonia’s CBI program offers the typical perks of many citizenship‑by‑investment schemes—visa‑free travel, a relatively low‑tax environment for non‑residents, and the prestige of an EU‑adjacent passport. However, it is more expensive and slower than comparable Caribbean options, and its touted advantages (tax exemption, easy company formation, European gateway) are either already available through other means or are limited in practice.
Prospective applicants should first clarify why they need a second passport, then compare the true cost and practical benefits against cheaper, faster alternatives such as residence permits or Caribbean citizenships. Avoid letting sales pitches dictate the decision; a well‑planned mix of passports, visas, and residency options usually delivers the desired flexibility at a lower overall expense.
