No visa backlog under the EB-5 rural category now

The EB-5 visa is a popular route to acquire a US Green Card and get permanent citizenship in America. The EB-5 program is essentially an employment-oriented, investment-driven visa that allows foreigners to live and work in the United States.

In an exclusive interview with Financial Express Online, Carel van der Merwe, Director of Sales at EB5 Coast to Coast, discusses the key trends shaping the EB-5 segment, new regulations affecting the processing time of immigrant visas, and the benefits of selecting rural projects under the EB-5 visa category.

In March of 2022, the EB-5 Reform and Integrity Act pushed forward new regulations that granted priority preference to rural projects. Of all allocated EB-5 visas per year, rural petitions account for 20% of set-aside visas. This means that while many countries are facing a backlog of applications in the EB-5 visa category, those filing a rural investment petition benefit from a “current” petition. In simpler terms: as of February 2024, there is no visa backlog under the EB-5 rural category.

Moreover, rural petitions are designated to receive accelerated processing. Currently, EB-5 petitions are taking 56.5 months to adjudicate.

In April of 2024, the filing fee for the I-526/E is due to increase from $3,675 to $11,160. This fee intends to be allocated toward decreasing the processing times of EB-5 applications. Additionally, due to an excess of 20,000 carryover visas from past years, it is anticipated that EB-5 beneficiaries may expect faster processing times.

Further, the EB-5 Reform and Integrity Act of 2022 created new guidance that declares that the sustainment period, or the amount of time EB-5 investment capital must remain “at risk,” is 2 years from the date that “the full amount of qualifying investment is made to the new commercial enterprise and placed at risk under applicable requirements, including being made available to the job creating entity, as appropriate.”

Investors no longer have to remain in financial limbo for an undetermined number of years while their application is adjudicated.

Are projects in the EB-5 rural category attracting investors?

According to the American Immigrant Investor Alliance, approximately 16% of all Form I-526Es were filed by Indian nationals and of those, 36% were in rural projects.

Indian investors recognize the advantage of rural projects, which allow investors to apply for a set-aside visa. As of February 2024, there is no visa backlog on the Visa Bulletin for rural investments in the EB-5 category. Indian individuals inside the U.S. on a nonimmigrant visa can file for their I-526E and green card simultaneously.

National interest projects can be defined as projects that serve a particular need in the United States and that require funding. The medical sector particularly demands funds due to the ever-growing demand for healthcare, particularly in vulnerable regions. These projects address critical needs and enjoy widespread support from governments at the state and local levels.

Addiction treatment centers (ATCs) have demonstrated that they fall under such a category and receive special consideration by USCIS. To qualify for national interest status, projects undergo rigorous scrutiny and necessitate extensive documentation demonstrating their substantial merits and benefits. EB5 Coast to Coast undertakes thorough research to identify projects that can fall under the national interest category.

Discovering rural projects that are viable, generate employment, and have growth potential is challenging and demands careful deliberation. Leisure and recreation projects in rural towns are popular given their ability to attract clientele year-round.

Other ventures that do not require proximity to a major city include addiction treatment centers, hospitals, factories, and call centers. The United States government views rural projects as highly attractive due to their capacity to develop underserved areas and demonstrate the positive impact of immigrants on the U.S. economy. Often, local and state governments provide financial and legal assistance to these projects.

https://www.financialexpress.com/business/investing-abroad-immigration-usa-how-attractive-are-projects-in-the-eb-5-rural-category-to-investors-3406908/