How will New Zealand’s fee increase impact its Active Investor Plus Visa?

New Zealand recently increased visa fees to make its immigration system more financially sustainable. The goal is for users to cover more costs instead of relying on taxpayer funding.

Rising expenses, driven by higher visa demand, increased staffing needs, and essential technology upgrades, have pressured the system’s budget. To address this, the government restructured fees so that applicants and employers pay a fair share, while Crown funding now primarily supports services with broad public benefits, such as refugee assistance.

Using a “cost-to-serve” model, fees are based on the actual expenses of processing each visa type, including staffing, Information Technology (IT), and operational costs. The government applied a conservative forecast, assuming 90% of expected visa volumes to account for any dips in application rates. This new model divides costs more accurately between applicants and the government, aligning with the principle that those benefiting from the immigration system should bear more costs.

These adjustments will help New Zealand’s immigration system manage its budget better. The long-term goal is to stabilize visa funding accounts by 2028. The government expects the revised fees to support better visa processing times and improved compliance measures.

This change represents a shift toward user-funded immigration services, designed to strengthen the system while supporting New Zealand’s economic goals. Although the fee increases make the system more self-sustaining, New Zealand believes these immigration costs remain competitive internationally.

HOW DOES NEW ZEALAND COMPARE WITH AUSTRALIA ON COSTS?

In the New Zealand immigration fee review, the government has drawn comparisons with Australia to help contextualize the new fee structures and underscore New Zealand's competitive position. Australia, one of New Zealand's main competitors for skilled migrants, students, and investors, offers a key reference point for assessing the affordability and impact of New Zealand’s visa costs.

For instance, while New Zealand charges a single visa fee for applications that include family members, Australia imposes individual fees for each applicant and additional charges for dependents. This difference often makes New Zealand a more economical option for families migrating under certain pathways, such as the Skilled Migrant and Partner Residence visas. 

OVERVIEW OF NEW ZEALAND’S FEE CHANGES

The fee adjustments under New Zealand’s new visa structure have varied impacts across visa categories, with significant increases for high-demand pathways and investor-focused visas. For example, fees for the Entrepreneur Work Visa—geared toward individuals establishing or purchasing businesses in New Zealand—have more than doubled. Previously priced at approximately NZD 3,920, this visa now costs NZD 12,380, reflecting both the higher processing requirements and the system’s intent to recover more costs from those who benefit directly from the immigration system​.

The Active Investor Plus Visa (APV), designed for high-net-worth individuals committing substantial capital to New Zealand’s economy, has also seen substantial fee hikes. Previously, it was around NZD 7,780, but this visa now requires an investment of NZD 27,470. The increased fee aligns with the visa’s intended purpose of attracting investors who can contribute to sectors critical to New Zealand’s growth, such as technology and sustainable infrastructure​.

Applicants for Skilled Residence Pathways, which include the Skilled Migrant and Parent Residency visas, will experience notable increases as well. The Skilled Migrant Category, for instance, has risen from NZD 4,290 to NZD 6,450, reflecting the more extensive assessments and verification processes involved in granting permanent residence. The Family Residency category, including Parent Residency visa fee, has nearly doubled, moving from NZD 2,750 to NZD 5,360, as it involves more comprehensive family and support assessments​.

Australia vs. New Zealand in Investment Migration

Australia's recent closure of its investor pathways positions New Zealand as an appealing alternative. New Zealand is a premium destination tailored for high-net-worth individuals (HNWI) committed to making substantial, long-term investments. With its high minimum investment threshold of NZD 15,000,000 (although, in practice, this can be reduced to NZD 5,000,000), New Zealand signals its intent to attract only serious applicants who are financially prepared and aligned with the nation’s strategic economic goals.

Unlike Australia’s passive investment approach, which previously allowed applicants to fulfill requirements through simple fund placements, New Zealand’s Active Investor Plus (AIP) visa emphasizes active investments in venture capital, private equity, and managed funds. New Zealand’s transparent regulatory environment, renowned for stability and low corruption, provides AIP visa holders with confidence and security in their investments, making the AIP visa an attractive and more dynamic alternative for serious investors seeking economic returns and a meaningful impact on their host country.

OVERVIEW OF THE NEW ZEALAND ACTIVE INVESTOR PLUS VISA

The AIP Visa requires a minimum investment amount of NZD 15 million, although a unique multiplier system can reduce it to as low as NZD 5 million depending on the types of investments chosen. During the investment period, applicants must spend at least 117 days in New Zealand.

   

New Zealand uses a multiplier system to incentivize direct and high-impact investments:

Direct Investments receive the highest multiplier (3x), encouraging investors to inject capital directly into New Zealand-based companies, especially in high-growth areas like technology and sustainable infrastructure.

Managed Funds, including private equity and venture capital funds, are weighted at 2x, supporting diversified capital flows into innovative sectors with growth potential.

Listed Equities and Philanthropic Contributions are capped at 50% of the total investment amount and carry no multiplier, making them suitable for applicants seeking portfolio stability while meeting visa requirements​​.

Using the multiplier system, a direct investment of NZD 5 million, using the 3x multiplier, is considered to meet the NZD 15 million investment requirement./

A holding account concept under the Active Investor Plus (AIP) Visa allows applicants to place their funds in secure investments, such as New Zealand government bonds, term deposits, or call accounts, before committing to their final investment selections. This approach provides flexibility, as applicants can fulfill visa requirements while taking time to evaluate and select eligible investments that best align with their financial goals.

The AIP Visa also permits staged investments, where applicants allocate their capital in phases over the four-year investment period. For example, an applicant might initially place funds in a holding account, and then gradually move portions into direct investments, managed funds, or listed equities at set intervals. After the initial investment, which can be as low as NZD 100,000, a full 50% must be invested by the 18th month in the investment period, and the full 100% must be invested by 36 months. As the investment period is four years, the full amount must only be invested from months 36 to 48.

In summary, the AIP key requirements include:

Base investment of NZD 15 million

Minimum effective investment requirement of NZD 5 million (using multipliers)

Residency requirement of 117 days during the investment period

The investment timeline:

Initial Investment (Month 0 following initial approval in principle)

Minimum investment of NZD 100,000 (varies by type of investment)

Remaining funds in holding account

Mid-term Requirements

50% of the total by Month 18

100% invested by Month 36

Final Period

Full investment maintained from Month 36 to 48

LONG-TERM BENEFITS: FROM PERMANENT RESIDENCE TO TRANS-TASMAN ADVANTAGES

Residence visa applicants and their families enjoy a range of New Zealand’s resident benefits, including access to healthcare and education subsidies. Under the AIP, after completing the required investment period and meeting residence stay requirements, applicants can apply for permanent residence, granting them lifetime residency rights with no further obligations (unlike many countries, including Australia, that place limitations upon the permanent residence travel facility).

Additionally, visa holders are eligible for New Zealand citizenship after five years of residence. A New Zealand citizen has the right to live, work, and study in Australia without restriction and is eligible to apply for Australian citizenship after four years of residence.

In summary, the benefits include:

Access to healthcare and education subsidies

Indefinite permanent residence rights

Path to citizenship after 5 years

Trans-Tasman advantages after obtaining NZ citizenship:

Rights to live and work in Australia

Australian citizenship eligibility after 4 years

EARLY ENGAGEMENT: NZTE'S COMPREHENSIVE INVESTOR SUPPORT PROGRAM

New Zealand offers extensive support for investor migrants through New Zealand Trade and Enterprise (NZTE), a government agency dedicated to assisting investors with their move and integration. NZTE’s Investor Migrant Managers provide personalized guidance from various global locations, offering insights into the New Zealand lifestyle, and connecting them with local networks. This dedicated support ensures investor migrants and their families are well-prepared for life in New Zealand.

To assist with identifying high-value investments, NZTE’s Investment Team—a group of 50 experienced professionals worldwide—helps investors explore direct investment opportunities within New Zealand. They guide newcomers through the local investment ecosystem and connect them with key contacts and organizations. This support empowers investor migrants to engage confidently with New Zealand’s business landscape.

NZTE’s Live Deals platform further enhances access to opportunities by showcasing active investment options across sectors and sizes. Investors can browse deals, access detailed information, and directly connect with New Zealand companies that align with their goals. This real-time resource allows investor migrants to stay updated on current opportunities, enabling them to make strategic, well-informed investment decisions.

HOW DOES NEW ZEALAND COMPARE TO OTHER INVESTOR PROGRAMS?

Compared to investment migration programs worldwide, New Zealand’s approach offers an unusually high level of personalized support and direct involvement in the local economy. While many countries provide only basic application guidance, New Zealand’s Active Investor Plus Visa combines clear pathways with extensive backing from New Zealand Trade and Enterprise (NZTE). Through dedicated Investor Migrant Managers, a specialized Investment Team, and real-time access to opportunities via the Live Deals platform, New Zealand ensures investor migrants can navigate the visa process and integrate meaningfully into the economy. This hands-on, relationship-focused approach contrasts with more passive investor migration schemes globally, making New Zealand an attractive choice for those seeking residency and meaningful, high-value investment opportunities in a stable, supportive environment.

Another attractive aspect of investing in New Zealand’s equity market for immigration purposes is its distinct focus on dividend returns. Unlike many global markets where profits are often redirected into share buybacks or acquisitions, New Zealand companies are more likely to distribute profits directly to shareholders through dividends. This focus provides a steady income stream, especially appealing to investor migrants under the Active Investor Plus Visa. New Zealand’s equity market also includes numerous infrastructure-based assets, which tend to offer higher dividend yields than the global average. For investor migrants, this emphasis on dividends, combined with the stability of infrastructure investments, enhances both the financial appeal and the strategic value of New Zealand equities within their investment portfolios.

WHAT’S THE OUTLOOK FOR NEW ZEALAND’S INVESTOR IMMIGRATION PROGRAM?

The restructured visa system and AIP program position New Zealand as a premium destination for investor migrants, offering:

Comprehensive support services

Flexible investment options

Clear pathways to permanent residence

Strong economic opportunities

Stable political and regulatory environment