Some Thoughts on the Principle of Effective Nationality and Citizenship Through Investment Programs

Abstract

The concept of citizenship refers to the legal bond between a state and individuals who constitute one of the essential elements (i.e., the population) of each state. Thus, each state has exclusive jurisdiction to determine who will be its nationals. On the other hand, this authority is acknowledged to not be unlimited, because states are the primary subjects of international law, and the status of citizenship as given by a state also leads to some important consequences in international law. Therefore, state-made citizenship regulations will be accepted by other states as long as they are consistent with international conventions, customary international law, and the generally recognized principles of law with regard to nationality. Granting citizenship through citizenship-by-investment programs is also under the exclusive jurisdiction of states. However, are other states obliged to recognize this citizenship? According to which principles should an evaluation in this regard be made? Should the effective nationality principle emphasized in the Nottebohm case (ICJ 1, 1955) be considered in this sense? This article seeks answers to these questions, for which it examines the concept of nationality in the context of general theory of state and international law, analyzes the important aspects of the Nottebohm case, explains the general aspects of naturalization, and evaluates citizenship-by-investment programs in different countries. The essence of the relationship between a state and its citizens is seen to remain the same, although the number of international migrants and multiple citizenship cases have increased alongside the impact of globalization. Therefore, granting citizenship only in exchange for money without a genuine link between the individual and the state does not conform with the meaning of nationality in the context of the general theory of state and has the potential to create problems in the context of international law.