The European Commission has confirmed in a letter to the government of Andorra that it may include provisions in the association agreement to limit the acquisition of real estate by non-residents, similar to the system in Malta, specifically targeting second homes. Under this, Andorra may introduce authorisation procedures for the purchase of properties used as second homes, based on public, objective, stable and transparent criteria.
The letter was made public by the head of government, Xavier Espot, during a meeting of the members of the State Pact for the association agreement, as announced by the government in a statement.
The press release details that this possibility is included in the conclusions of the negotiating session from December 2023. However, it cannot be incorporated into the agreement until national legislation on this matter has been amended and has been approved by the joint committee that the agreement will establish.
Espot explained that, due to citizens' concerns over certain issues, the government decided to submit a request to the European Commission to publish certain agreements made during the negotiations that are not explicitly stated in the text of the agreement.
On the other hand, regarding the system for calculating residence permits outlined in the agreement, the Commission has confirmed that the quota for workers, set at 7% of the average total of residence permits in force over the past five years, would have amounted to 368 new permits if applied in 2023.
Espot emphasised that it was "important," in light of the various interpretations that have emerged recently, to clarify that the government’s and the Commission’s interpretation aligns and corresponds to what is stated in the official informational documents.
The government emphasises that the letter refutes interpretations suggesting a much larger increase in the population. Espot has reiterated that, given the starkly opposing interpretations being made, it was essential to provide citizens with "rigorous and reliable" information.
Finally, the Commission has confirmed that the free movement of persons, with the agreed specificities, will not come into effect until two years after the association agreement is implemented.