The new Immigration Law in Latvia: what it means for employers, investors and temporary residence holders

On 11 June 2026, the Saeima (the Parliament of the Republic of Latvia), passed the new Immigration Law in its third and final reading. The legislation introduces major changes to the way temporary residence permits are issued in Latvia. Key changes include revised criteria for investment-based programmes, as well as new obligations for labour supply service providers and those recruiting for low-skilled roles.

Real estate and bank deposit programmes are no longer included in the new list of residence permit grounds

The current Immigration Law provides for the possibility of obtaining a temporary residence permit by purchasing real estate of a certain value in Latvia, as well as on the basis of subordinated liabilities with a Latvian credit institution.

These temporary residence permit programmes are no longer included in the list of grounds for temporary residence permits under the new law. Applications submitted and accepted for review before the new law enters into force will be processed in accordance with the current regime.

At the same time, investors in both groups who already hold temporary residence permits on this basis will be able to continue residing in Latvia. Their existing temporary residence permits will remain valid until the expiry date of their ID cards. In order to continue residing in Latvia on the same basis, these investors will need to submit an application to the Office of Citizenship and Migration Affairs (OCMA) for a temporary residence permit for five years during the validity period of the ID card, as provided for in Transitional Provision 10 of the new law.

New investment-based temporary residence permit ground: investment in a state-established alternative investment fund manager

The new law will introduce a new investment-based temporary residence permit ground. A temporary residence permit for up to five years may be requested by a foreigner who concludes an agreement and makes an investment of at least EUR 150,000 for a term of not less than five years in a state-established alternative investment fund manager, and who also pays EUR 10,000 to the state budget. The permit will remain valid if the fund manager confirms that the investment agreement has not been terminated and that the remaining investment amount is not less than EUR 150,000.

Although the basis for this investment-based temporary residence permit programme has been included in the new law, the programme itself has yet to be developed. Its creation and implementation will therefore need to be monitored.

The company investment temporary residence permit programme remains in place

Although most investment-based temporary residence permit programmes have already been terminated or will be terminated under the new law, the programme based on investment in a company’s share capital will remain in force. Two main investment thresholds will remain: an investment of EUR 50,000 in a smaller company, and an investment of EUR 100,000 in a larger company or in a company together with its subsidiaries. The EUR 10,000 payment to the state budget for the first temporary residence permit application will also remain in place.

The main difference will be the duration of the permit. Going forward, this temporary residence permit may be requested for a period of up to two years, and the ID card will be issued for the same period. The tax payment criterion that the company must meet in order for the foreign investor’s temporary residence permit to be requested again will not change and will remain at the current level.

Abandonment of temporary residence permit registration

In practice, one of the most significant changes is the termination of the current temporary residence permit model, under which residence rights may be granted for a longer overall period, in most cases up to five years, while the ID card is issued for one year and annual registration of the temporary residence permit is required in order to receive a new ID card.

Under the future model, temporary residence permits will be requested for a specific period corresponding to the validity period of the ID card to be issued. A few examples are shown in the table below.

Stricter rules for labour supply service providers, including EoR providers

The new law provides that approval of an invitation or sponsorship will be refused if a foreigner is invited for employment purposes by a labour supply service provider that is an inactive taxpayer, was established within the last six months, or has tax compliance violations identified within the framework of the State Revenue Service’s (SRS) rating system.

This means that newly established or economically inactive service providers will not be able to invite foreigners to work in Latvia on the basis of a visa or temporary residence permit. Service providers wishing to invite foreigners will also need to closely monitor their tax compliance status to ensure that no violations arise.

New restrictions for low-skilled professions

Similar restrictions are also envisaged where a foreigner is invited for employment in one of the occupations listed in Major Group 9 of the Occupation Classification. If the inviting party is an inactive taxpayer, was established within the last six months, or has tax compliance violations identified by the SRS, approval of the invitation or sponsorship will be refused.

Processing times for residence permit applications will become more predictable

Going forward, if the residence permit application review deadline cannot be met for objective reasons, the OCMA will be able to extend it, but by no more than four months from the date of receipt of the documents. This extended deadline will not be subject to further extension.

This is important because, under current practice, the review of cases in some categories, especially those involving investors and nationals of countries subject to additional checks, may take significantly longer, in some cases up to one year.