With the suspension of the federal and Quebec investment immigration programs in Canada this year and the significant increase in the application requirements for business and investment immigration in Australia, the surge in U.S. EB-5 applications is expected to continue, becoming the primary channel and vehicle for the wealthy class in China to immigrate abroad in the coming years.
To revive the U.S. economy, it is crucial for investors to create a large number of jobs locally, which highlights the benefits to the U.S. According to official announcements from the U.S. Citizenship and Immigration Services, the number of approved I-526 applications (2-year green card principle approval) in the first quarter of 2012 has significantly exceeded the total for the entire year of 2011, with an approval rate for I-829 (permanent residency green card) reaching as high as 96%. Therefore, although EB-5 cannot immediately become a permanent residency statute, this "Fifth Priority Employment Permanent Residency Visa" has now become the "First Priority Visa" and will continue to exist, opening doors for overseas investment applicants.
In terms of the approval of EB-5 regional center projects (which is also key to whether applicants will successfully obtain visas), the immigration bureau has recently hired a large number of economic experts to conduct more detailed analysis and definition of the job creation in project plans. At the same time, the immigration bureau will scrutinize the business models of projects more strictly, requiring project parties to increase risk factors and eliminate capital preservation commitments for projects with relatively low commercial investment risks. Compared to projects that rely solely on lending for investment, the immigration bureau prefers projects that involve direct equity investment.
In summary, EB-5 will long remain a shortcut for Chinese citizens to obtain a U.S. green card, but the statute's emphasis on project recognition, particularly regarding the high commercial risks of projects, poses challenges for us applicants. To date, over 100 EB-5 projects have entered China, and in the face of the dazzling array of projects, choosing an experienced and responsible immigration intermediary to select the right projects for applicants is crucial.
