EB-5 Economic Impact: How the Program Benefits the U.S. Economy
October 8, 2024 · EB-5 · 8 min read
The EB-5 immigrant investor program does more than open a route to a U.S. green card for foreign investors. The EB-5 economic impact on the United States has been substantial: billions of dollars in investment and, by industry estimates, more than a million jobs created for American workers.
The EB-5 immigrant investor program does more than open a route to a U.S. green card for foreign investors. The EB-5 economic impact on the United States has been substantial: billions of dollars in investment and, by industry estimates, more than a million jobs created for American workers.
How EB-5 capital benefits the U.S. economy, state by state
EB-5 is an immigrant investor program that allows foreign investors to make targeted investments in the U.S. economy in order to qualify for a U.S. green card. Each investment must also create at least 10 full-time jobs for qualifying U.S. workers.
Established in 1990, the EB-5 program was created to drive U.S. economic growth through foreign direct investment (FDI). Since the 2008 recession and, more recently, the COVID-19 pandemic, EB-5 has become an important tool for stimulating the economy through difficult periods: supplying investment capital to businesses, attracting funding for major infrastructure projects, and creating jobs for American workers.
Over the years, academics and government agencies have carried out economic benefit studies to assess the impact of the EB-5 program on the U.S. economy. According to industry data compiled by IIUSA, the program has brought in more than US$50 billion of foreign direct investment and supported more than 1.35 million jobs for American workers. By state, for example:
- New York: US$6.5 billion and more than 200,000 jobs
- California: US$3.7 billion and more than 145,000 jobs
- Washington: US$1.8 billion and more than 56,000 jobs
- Florida: US$1.7 billion and more than 64,000 jobs
- Texas: US$1.5 billion and more than 52,000 jobs
Jobs created by the EB-5 program across U.S. states (Source: IIUSA)
Although EB-5 visas account for less than 1% of all U.S. immigrant visas issued each year, the program has a strong and meaningful effect on the recovery and growth of the U.S. economy. EB-5 capital has helped thousands of projects move forward across infrastructure, real estate, and other important sectors.
Most EB-5 capital flows into Targeted Employment Areas (TEAs): areas of high unemployment — census tracts where the unemployment rate is at least 150% of the national average — and rural areas, meaning any area outside a metropolitan statistical area (MSA) or outside the boundary of a city or town with a population of 20,000 or more. This helps create jobs and supports local economic development. Infrastructure projects funded through the program have helped raise the quality of life in those communities, from schools and hospitals to transportation systems, delivering long-term benefits locally and supporting sustainable economic growth.
Building a future for your whole family through the EB-5 U.S. green card program
Taken together, these figures suggest the EB-5 program is doing what Congress designed it to do, generating broad economic benefits for the country. As a route to a U.S. green card that does not require an employer sponsor or a labor certification, EB-5 continues to attract investors from around the world.
The program’s eligibility requirements are also comparatively open: there is no requirement for a particular degree, English-language ability, or business management experience. Adjudication capacity has shown positive signs recently, which may shorten waiting times for approval. For investors considering an EB-5 filing, current conditions are therefore relatively favorable.
As a U.S. green card holder, or U.S. permanent resident, you and your family gain many of the same rights as U.S. citizens, though not all: permanent residents cannot vote in federal elections, and residence remains conditional on meeting the obligations of permanent resident status. These include:
- Freedom to enter and leave the United States, and to live and move anywhere in the country.
- Children attend public school free of charge through high school and can apply to leading U.S. universities, including access to the support available to domestic students. Tuition for permanent residents is typically about 3 times lower than the international-student rate.
- The freedom to work for any employer, with no restriction on the type of work or the hours, and no sponsor required.
- The ability to apply for the licenses needed to establish and run a business in the United States.
- Access to the U.S. health insurance system as a lawfully present resident, including Marketplace coverage; eligibility for federal programs such as Medicaid is subject to waiting periods and income tests.
- Eligibility to apply for U.S. citizenship by naturalization after five years of continuous residence as a permanent resident, subject to the physical presence, good moral character, and other statutory requirements.
If you are considering a U.S. green card through the EB-5 immigrant investor program, contact IMM Group or leave your details below. Our experienced advisors will provide detailed guidance and help assess the likelihood of success of your case. We will keep your personal data confidential and use the information you provide only to advise on your family’s case.
IMM Group
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