Shafaq News/ Nomad Capitalist, the world’s most visible boutique consulting firm, compiles an annual list of the best passports for ‘global citizens’.
The Nomad Passport Index (NPI) ranks 199 citizenships around the world on five factors for a deeper understanding of “what it means to be a citizen.”
The five factors are, visa-free travel, international taxation laws, global perception, dual citizenship, and personal freedom. All of which adds up to the best passports for global entrepreneurs.
Luxembourg is in first-place position for the fourth year in a row having climbed up from tenth place, four years ago. It is a small country and now offers citizenship to resident expatriates, which is relatively easy to obtain.
Ireland and Sweden are tied in second place–the former as it has one of Europe’s lowest corporate tax rates and the latter for its strong global reputation.
In joint fourth place are Switzerland and Belgium. Switzerland is only one of two non-EU countries in the top ten because it affords its citizens a lot of privacy. Belgium is home to the European Union with high levels of personal freedom and transparency. Whilst taxes are high in Belgium, the tax system is easy to navigate.
Finland and Portugal share sixth place. A Finnish passport offers visa-free travel to a number of countries but it lost rankings due to increasingly stringent tax laws, whilst Portuguese passports allow travel to some countries that other EU passports do not, such as South Africa. Portugal is currently offering expats a Golden Visa and tax exemption program.
Singapore, the Czech Republic, and the Netherlands tie in eighth place. Singapore is a local trade hub and has always been welcoming and beneficial to expats. A Czech Republic passport has become stronger since joining the EU in 2004 and the Netherlands has climbed ten places since last year because of an increase in granting dual citizenships, its convenient location in central Europe and a strong passport perception.
The United States passport continues to drop from 40th to 42nd place, while Afghanistan and Iraq recorded the world’s worst passport, with access to 26 countries.
In the Arab World, the UAE ranked first (38th in the world), while Kuwait is in the second place (97th in the world), followed by Qatar (98th in the world), and Oman (103rd in the world), then Bahrain (105th in the world).