The Nauru government has launched a controversial “golden passport” program, offering citizenship to foreign investors for US$105,000. President David Adeang announced the initiative on Tuesday, aiming to finance the country’s inland relocation as rising sea levels threaten its coastal areas.
“For Nauru, it is not just about adapting to climate change, but about securing a sustainable and prosperous future for generations to come,” Adeang said. The low-lying island, home to approximately 13,000 residents, faces significant land loss due to climate-induced sea-level rise.
The citizenship program promises visa-free access to 89 countries, including the United Kingdom, Ireland, the United Arab Emirates, and Hong Kong. However, such schemes have raised concerns about potential misuse by criminals seeking to evade law enforcement or launder money.
Edward Clark, head of Nauru’s Economic and Climate Resilience Citizenship Programme, acknowledged these concerns but emphasized the necessity of the initiative. “Debt financing places an undue burden on future generations, and there is not enough aid,” he said. The government anticipates generating US$5.7 million in the program’s first year, with hopes to increase this to US$43 million, accounting for nearly 20% of national revenue.
Nauru’s history of phosphate mining has left 80% of the island uninhabitable, exacerbating the challenges posed by climate change. The first phase of the inland relocation is projected to cost over US$60 million. Clark described the citizenship program as an “innovation” to address these pressing issues.
While more than 60 countries offer similar investment-based migration schemes, experts warn they can be exploited by individuals with illicit intentions. Henrietta McNeill, a research fellow in Pacific affairs at the Australian National University, noted that such programs can be prone to exploitation.
Nauru’s previous attempt at selling passports in 2003 ended disastrously when officials sold citizenship to al-Qaida members who were later arrested in Asia. Clark assured that this time, the program would involve “the strictest and most thorough due diligence procedures.” “This program isn’t just about acquiring another passport,” he said. “It’s about joining a community dedicated to pioneering solutions for global challenges.”
In recent years, Nauru has also received substantial funds from Australia for hosting asylum seekers, a practice that has faced international criticism due to reported human rights abuses.
As climate change continues to impact vulnerable nations, Nauru’s approach highlights the complex interplay between environmental challenges and economic survival strategies.
