Sunday, March 6, 2011

Reviewing dual citizenship

The decision to review the practice of allowing dual citizenship would have been based on considerations of national interest that are broader than economic considerations. There is conceivably a political rationale and security considerations behind such a decision. The conditions on which dual citizenship is given may also have been reviewed in order that the economic advantage to the country is enhanced. In fact, financial advantages to the country should be a foremost criterion.

Although, at first, it was thought to be discontinuance of dual citizenship rights, it has been made clear that the intent is to review the conditions for granting such dual citizenship. The granting of dual citizenship has not been discontinued though the conditions are likely to be changed. The review of the conditions for granting dual citizenship is indeed a good move. Whatever the new conditions would be for grant of dual citizenship, the decision has economic implications that are the focus of this discussion. The rationale for granting dual citizenship should be primarily the national interest of which economic factors would be an aspect. No doubt, economic considerations discussed here would be taken into consideration in the decision making, and formulation of the conditions for granting dual citizenship.

Rationale for review

We are not privy to the reasons for the government decision to review the conditions for granting dual citizenship. However, it appears to follow the pattern of certain decisions taken with respect to immigration and emigration recently. This includes the discontinuance of the visa on arrival facility except for citizens of those countries that do not require our citizens to get visas to enter their countries.
Unfortunately, there are only two or three countries that permit Sri Lankans to enter their territories without a visa. Therefore, this decision is based on the criterion of reciprocity of visa granting that is a principle and practice in a number of countries, including India. Some South American countries too follow the principle of reciprocity in the grant of visa.
Many countries do not permit dual citizenship. Again, India is one such country that does not permit dual citizenry. However, the trend in the last few decades has been for more countries to permit dual citizenship. Whether there has been any country that permitted dual citizenship being withdrawn is not certain. Generally such decisions are not revoked.
There is a hint that the dual citizenship granted to some may be reviewed and withdrawn if some conditions have not been met. These include those who have merely used it to circumvent tax measures. From an individual’s point of view, the withdrawal of a right they enjoyed may be interpreted as contrary to natural justice, as individuals would have made decisions on the basis of continuing as dual citizens and enjoying the rights of being a citizen in both countries. Therefore, the revoking of dual citizenship currently enjoyed must be revoked only in exceptional cases.

A significant related issue is while ordinary citizens may be allowed civic rights in Sri Lanka while holding citizenship in another country, an important question is whether dual citizens should hold high public office, be members of parliament and other legislative bodies and also be appointed to represent the country abroad. This is indeed a controversial issue that is unlikely to be viewed objectively. A clear policy statement on this would be a good move.

Economic implications
There are a large number of persons who have been granted dual citizenship and it appears that there are thousands whose applications for dual citizenship are pending. An early return to the granting of dual citizenship on new criteria would be of economic advantage to the country. A delay in decision making could result in good candidates for dual citizenship opting out.

Dual citizens have brought in a significant amount of money into the country. The country has not only earned the fees for granting of dual citizenship but foreign citizens have brought in money for the purchase of property, investment and for their living in the country. The amounts for investment and living expenses have been increasing progressively.
This is so for several reasons. The Sri Lankan diaspora are ageing and many find returning to the country a better economic proposition and a more comfortable mode of living. The lower costs of living, availability of domestic help and more congenial weather conditions are some of the reasons for the demand for Sri Lankan dual citizenship. In some cases it is not only the funds brought in initially for purchase of property but regular living expenses as well.

Some Sri Lankans like to spend their latter years in two or sometimes in more than two countries owing to their families being scattered in several countries. Such persons want to have the facility of easy travel by possessing dual citizenship as Sri Lankan passports require visas to enter most countries. If these categories of persons are denied dual citizenship, they would probably opt to live abroad.
A third category spends less than a few months in Sri Lanka but visit the country at least once a year. They too own property and bring in money for their living expense in the country. Many apartments in Colombo are owned by such persons and any set back to the grant of dual citizenship may have an adverse effect on the property market.

All these categories are a benefit to the economy. Remittances from Sri Lankans abroad are a huge source of foreign earnings. Although it is generally thought that remittances are from workers in the Middle East, a sizable amount of remittances are from professional expats from abroad. Dual citizenship is one reason for higher remittances among some categories of foreigners.
While 60 per cent of total remittances are from migrant workers from the Middle East, a significant amount of remittances are from North America, Europe, Australia, New Zealand, Italy, South Korea, Malaysia and Singapore. There has been an increasing inflow of remittances from Sri Lankans from European countries and North America and in 2009 remittances from North America, Europe, Australia and New Zealand were about 28 percent of total remittance earnings. This implies that there are significant amounts of remittances from professionals as well. These remittances are for the upkeep of family members, purchase of land and apartments and other investments. Some part of these remittances could be from dual citizens.

Economic criteria
Economic considerations should be built into the conditions for granting dual citizenship. Income of applicants, the properties they own or are likely to purchase, professional contributions they may make, the finances they bring and investments they make in the country should be criteria for granting citizenship. An objective of dual citizenship should be to maximise inward remittances. It is, therefore, important to make the conditions clear and transparent. The new conditions should be announced soon and the granting of dual citizenship should commence quickly. However, the economic implications discussed here are among the many issues that should be considered for the granting of dual citizenship.

Source:http://www.nation.lk/2011/03/06/newsfe4.htm

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