Updated
GL-A-03
Glossary · Due Diligence and compliance
AIP - Approval in Principle
Preliminary approval: the government has vetted the applicant and permits the investment to be made. AIP opens the next step; the passport itself is issued later.
01 / In 30 seconds
The short answer
- What it is
- Approval in principle — preliminary approval of the application after the check
- What it means
- The state has checked you and is in principle ready to grant the status
- What next
- The investment is made, then the passport or residence permit is issued
- Why it is needed
- So that you do not invest money before passing the check
- Can you prepare
- Yes: a strong file raises the chance of AIP first time
02 / In plain words
What AIP means
AIP (approval in principle) is the preliminary approval of an application in a citizenship or residence by investment programme. It means that the state has carried out the due diligence check and is in principle ready to grant you the status — only the financial part remains.
Why it matters: AIP usually comes before the main investment is made. The logic is fair — first you are checked, and only once you have the “green light” do you invest the money. This reduces risk: if a refusal came after the investment, recovering the main sum would be harder. The fee for the check itself, however, is non-refundable in any case.
After AIP it remains to pay the contribution or complete the property purchase, await final approval and receive the passport or residence card. The speed and smoothness of this stage depend largely on how strong the file was: a clean and complete application gets AIP first time; a contentious one, with delays and requests.
In Vanuatu the approval letter is issued by the Citizenship Commission. From its date the family has 3 months to pay the contribution or fund share and take the oath and biometrics.
A case from practice
An applicant for Caribbean citizenship files the documents and undergoes due diligence. Having received AIP (approval in principle), they pay the fund contribution — only now, not earlier. After final approval they are issued a passport. Had they invested the money before the check, the risk would have been higher.
Where AIP comes in
- Citizenship by investment (CBI)
- Residence and permanent residence by investment
- The stage after due diligence
- Before the investment is made
- Reducing risk for the applicant
- Planning timelines
03 / What it covers
What matters about AIP
What it means
- Check passed
- The state is ready
- Approved in principle
When
- After due diligence
- Before the main investment
- Before final approval
Purpose
- Not investing before the check
- Reduced risk
- The check fee is non-refundable
Next
- Make the investment
- Final approval
- Passport or residence permit
04 / How it works
Where AIP sits in the process
Filing and documents
Due diligence check
AIP — pre-approval
Investment and completion
Passport or residence permit
05 / Key facts
What you need to know
01
AIP is preliminary approval after the check
02
It usually comes before the main investment is made
03It reduces risk
money is invested after the “green light”
04
The fee for the check itself is non-refundable in any case
05
A strong file gets AIP first time
Common mistakes
- Making the main investment before AIP
- Filing a weak file and receiving requests
- Concealing an episode — the check before AIP will find it
- Treating the check fee as refundable
- Not allowing time for the check stage
06 / Expert advice
How to prepare in advance
To obtain AIP first time, a strong and clean file is prepared: weak points are closed with documents, the source of funds is evidenced and contentious episodes are explained in advance. Then the check passes quickly, pre-approval arrives, and only after it is the main investment made.
What we do for you. We prepare the application so that you receive AIP first time: we close weak points, evidence the source of funds and guide you through the check. You make the main investment only after preliminary approval — when the risk is already minimal.
Klara RihterBanking compliance and source of funds specialist
07 / Questions
Frequently asked questions
Approval in principle — preliminary approval: the state has checked you and is in principle ready to grant the status. What remains is to make the investment and receive final approval.
Usually not: the main investment is made after pre-approval. This reduces risk — you invest the money having already passed the check.
It is a strong signal but not an absolute guarantee: the financial part must be completed and final approval obtained. New circumstances could in theory have an effect.
No, the due diligence fee is non-refundable in any case. That is why weak points are closed before filing, in order to obtain AIP.
It depends on the programme and the quality of the file: a clean application passes the check in weeks; a contentious one takes longer, with requests.
Paying the contribution or completing the property purchase, awaiting final approval and receiving the passport or residence card.
Related terms
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