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News feed Date: 01 November, 2024
US Economy Makes America the Perfect Residency to Invest In
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RIF Trust on America’s Financial Power
The US economy has magnetic appeal. It’s one of the reasons the US EB-5 Investor Visa is so popular with Indian HNWIs (and UHNWIs), according to RIF Trust’s Regional Director – India, Binu Varghese.
“It should come as little surprise,” Binu reveals, “that the EB-5 is one of the most applied-for Residency by Investment options.”
“Investing in US residency aligns with our SMILE philosophy.”
“There’s the Security provided by the stable US economy and Mobility from the United States passport you’re eligible for after 5 years as an American resident. The green card you”ll receive counts as Insurance, you’ll access an enviable Lifestyle, and improve the Education available to your children.”
How Strong is the US Economy in 2024?
On Thursday, October 30, 2024, the US government’s Council of Economic Advisors (CEA) released its GDP figure for this year’s third quarter. This GDP Issue Brief underlines the status of the US economy. Real GDP grew by 2.8% in Q3.
Since Q4 2020, when the Biden-Harris adminstration came to power, there’s been an increase of 12.6% in real GDP. The bounceback from the pandemic has been spectacular. Before COVID, the Congressional Budget Office (CBO) made a budget forecast that was $3.3 trillion less than today’s reality.
Compared to the US’ Group of Seven partners, its economy is in a league of its own. That’s due to real GDP growth from Q4 of “11.4%, more than double the next-largest expansion in the G7.” The contrast is stark with the European Union, with real disposable income rising than double than that in the EU since 2024.
America’s strong financial record mirrors consumer confidence. The Economist‘s Big Mac Index (BMI) has been a staple since launching in 1986. This measures the correlation between the exchange rate and the purchasing power parity (PPP) across currencies.
Appropriately enough, the birthplace of the Big Mac tops the BMI. Your average American wields the purchasing power of being able to afford 14,000 of McDonald’s trademark burgers every year. That’s over a 1,000 per month.
There’s a level of optimism in the United States that’s a world away from the world of worry of the 1990s. 1990, interestingly, was the year the EB-5 came into being as a way of stimulating foreign direct investment in the US. Back then, American policymakers shared their concern of their country falling behind the likes of Europe and Japan.
As we have seen, there has been European decline this side of the New Millennium. Japan’s star also seems to be on the wane. The US economy, meanwhile, just seems to be getting bigger and better.
The Role the EB-5 Plays in Fuelling the American Market
The US EB-5 Investor Visa’s origin story relates to an attempt to galvanize the US economy. This Residency by Investment continues to benefit both investor and country. Invest in the US to ensure its continued stability and that continued stability represents a secure investment.
Everybody knows America’s big cities, the likes of LA, New York, and Washington, D.C. The EB-5 Visa prioritizes more regional job creation. It has established Targeted Employment Areas (TEAs).
These are parts of the US that are experiencing more bust than boom. They’re areas suffering from high unemployment. America’s Bureau of Labor Statistics defines that as unemployment at a rate of a minimum 150% of the national average.
An area can also qualify to be a TEA by virtue of its location. The focus shifts away from metropolitan America. Instead, the EB-5 looks to bolster the rural US economy.
What US Citizenship and Immigration Services (USCIS) does is use EB-5 profits to fund new Regional Centers. A Regional Center is a US public or private economic unit, public or private, in the United States, involved with promoting economic growth. They encourage submissions but vet these applications to ensure only the most watertight proposal goes ahead.
In 2024, there are over 700 approved Regional Centers. They are located in everywhere from Alabama to Oklahoma. Bear in mind, also, that Regional Centers can operate in more than one state.
Key areas to benefit from the US EB-5 Visa include New York State, Florida, Texas, and Washington State. You do not have to be based in the state where you pledge your minimum $800,000 Regional Center investment. However, state-level income tax is noticeably lower in the aforementioned Florida, Texas, and Washington, as it also is in New Hampshire, South Dakota, and Tennessee.
Why You Should Invest in US Residency in 2024
On Tuesday, March 15, 2022, President Biden signed the Public Law No: 117-103. This enacted the H.R.2471 – Consolidated Appropriations Act, 2022. Along with reauthorizing the expiring National Flood Insurance Program and addressing Medicare, Medicaid, and other health programs, this law guarantees the future of the EB-5.
It showcases the then new EB-5 Regional Center Program. After his predecessor Trump toyed with the idea of eradicating this Residency by Investment, Biden emphasized his commitment to the programme. The incumbent POTUS signed his name to the EB-5 continuing until Thursday, September 30, 27, at the very least.
US Economy Makes America the Perfect Residency to Invest In
Date: 01 November, 2024
Posted in: News feed
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