Migration (Complying Investments) Instrument 2025

Administered by Department of Home Affairs

Legislation au F2025L01205 In force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

Issued by authority of the Assistant Minister for Immigration

Migration Regulations 1994

Migration (Complying Investments) Instrument 2025

The instrument, departmental reference LIN 25/066, is made under subregulation 5.19C(6) of the Migration Regulations 1994 (the Regulations). 

The instrument repeals and re-makes Migration (IMMI 15/100: Complying Investments) Instrument 2015 (IMMI 15/100) in accordance with subsection 33(3) of the Acts Interpretation Act. That subsection provides that a power to make a legislative instrument includes a power to amend or repeal that instrument in the same manner, and subject to the same conditions, as the power to make the instrument. 

The instrument commences on 1 October 2025. It is a legislative instrument for the purposes of the Legislation Act 2003 (the Legislation Act). 

Background

Migration (Complying Investments) Instrument 2025 (LIN 25/066)

LIN 25/066 is made under subregulation 5.19C(6) of the Regulations. It replaces the Migration (IMMI 15/100: Complying Investments) Instrument 2015 (IMMI 15/100), which is scheduled to sunset on 1 October 2025 in accordance with section 50 of the Legislation Act.

IMMI 15/100 commenced on 1 July 2015, which specified the investments permitted for certain visa streams under Subclass 188 (Business Innovation and Investment (Provisional)) and Subclass 888 (Business Innovation and Investment (Permanent)) visas. The primary criteria for these streams are that an applicant has made a complying investment of a certain Australian dollar amount.

The Business Innovation and Investment program (BIIP) closed to new visa applications on 31 July 2024. There are a number of Subclass 188 and 888 visa applications which have been made but are not yet finally determined as well as Subclass 188 visa holders who will make Subclass 888 applications in the future. Investor streams of these of visa applications are subject to a Complying Investment Framework requirement.

The matters specified in IMMI 15/100 remain relevant and applicable to certain cohorts and therefore needs to be remade to accommodate for the processing of these cohorts. The purpose of LIN 25/066 is to specify the manner in which complying investments for the investor streams of the BIIP can be made. The primary criteria for these streams are that an applicant has made a complying investment of a certain Australian dollar amount.

The intent of LIN 25/066 is to ensure that the Department can process the ‘complying investment’ criteria in Subclass 188 and Subclass 888 visa applications that were made prior to 31 July 2024 but are not yet finally determined.


Consultation

During the development of IMMI 15/100, the Department consulted with Austrade, the Department of Industry, Science, Energy and Resources (DISER), the Department of Foreign Affairs and Trade, the Treasury, and the Australian Securities and Investments Commission (ASIC) when developing the complying investments framework. 

No consultation was undertaken for LIN 25/066. This is because this instrument is remade in substantially the same form as IMMI 15/100, and specifying the same matters as in that instrument to accord with existing policy settings, to allow for on-hand applications to continue to be processed in accordance with the requirements specified in the instrument.

This consultation accords with the consultation requirements in section 17 of the Legislation Act.

Parliamentary scrutiny etc.

The instrument is exempt from disallowance under section 42 of the Legislation Act. This is because in accordance with paragraph 44(2)(b) of the Legislation Act and item 20(b) in regulation 10 of the Legislation (Exemptions and Other Matters) Regulation 2015, instruments made under Schedule 2 to the Regulations are prescribed as being exempt from disallowance. Given the instrument is exempt from disallowance, a statement of compatibility in accordance with section 9 of the Human Rights (Parliamentary Scrutiny) Act 2011 is not required.

The instrument was made by the Assistant Minister for Immigration in accordance with subregulation 5.19C(6) of the Regulations.


Details of the instrument

Part 1—Preliminary

Section 1 – Name

Section 1 provides that the name of the instrument is the Migration (Complying Investments) Instrument 2025 (the instrument).

Section – Commencement

Section 2 provides that the instrument commences on 1 October 2025.

Section 3 – Authority

Section 3 provides that the instrument is made under subregulation 5.19C(6) of the Migration Regulations 1994 (the Regulations).

Section 4 – Definitions

Section 4 provides for the definitions in the instrument.

A note in this section provides that a number of expressions used in this instrument that are defined in the Regulations, including:

  • AUD;
  • complying significant investment;
  • member of the family unit.

The definitions in this section are as follows:

  • Australian ADI has the same meaning as in the Corporations Act 2001.

The note under the definition of Australian ADI provides that ADI is short for authorised deposit-taking institution.

  • Australian financial services licence means a licence under section 913B of the Corporations Act 2001.
  • balancing investment: see section 11
  • body has the same meaning as in the Corporations Act 2001.
  • derivative has the same meaning as in Chapter 7 of the Corporations Act 2001.
  • emerging companies investment: see section 10
  • fund of funds means a managed investment fund that invests in other funds.

The note under the definition of funds of funds provides that an investor can invest in managed investment funds through a fund of funds or investor directed portfolio service if the managed investment funds in which the fund of funds or investor directed portfolio service invests complies with the other requirements of the complying investment framework.

  • incorporated in Australia has the same meaning as in the Corporations Act 2001.

The note under the definition of incorporated in Australia provides that section 9 of the Corporations Act 2001 defines incorporated in Australia and incorporated.

  • investor has the meaning given by regulation 5.19C of the Regulations.
  • listed investment company has the same meaning as in the Income Tax Assessment Act 1997.
  • managed investment fund means any of the following (whether open or close ended):
    • a managed investment scheme based only on interests:
      • that are not able to be traded on a financial market (within the meaning of section 767A of the Corporations Act 2001; and
      • for which no representation has been made to any member, or prospective member, of the managed investment scheme that the interests will be able to be traded on such a financial market;
    • a listed investment company;
    • a financial product mentioned in paragraph 764A(1)(d), (e) or (f) of the Corporations Act 2001 that may result in a payment from an approved benefit fund (within the meaning of the Life Insurance Act 1995), or a statutory fund maintained under the Life Insurance Act 1995.
  • managed investment scheme has the same meaning as in the Corporations Act 2001.
  • registered foreign company means a foreign company, within the meaning of the Corporations Act 2001, that is registered under that Act.
  • Regulations means the Migration Regulations 1994.
  • securities means any of the following interests:
    • debentures, stocks or bonds issued or proposed to be issued by a government;
    • shares in, or debentures of, a body;
    • interests in managed investment scheme;
    • units of such shares;
    • options to acquire by way of transfer any of the interests mentioned paragraphs (a) to (d);

but does not include derivatives other than the options mentioned in paragraph (e).

  • venture capital fund means any of the following bodies:
    • a venture capital limited partnership conditionally registered, or unconditionally registered, under the Venture Capital Act 2002;
    • an early stage venture capital limited partnership conditionally registered, or unconditionally registered, under that Act;
    • an Australian venture capital fund of funds conditionally registered, or unconditionally registered, under that Act.
  • visa means a Subclass 188 (Business Innovation and Investment (Provisional)) visa granted in whichever of the following streams is relevant:
    • the Significant Investor Stream;
    • the Significant Investor Extension Stream;
    • the Investor Stream.

 

Section 5 – Schedules

Section 5 provides that each instrument that is specified in a Schedule to the instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to the instrument has effect according to its terms.

Part 2—Complying investments

Section 6 – Compliance with this instrument

Section 6 specifies that the requirements for an investment applying at any particular time are that the investment complies with all requirements under the instrument that are applicable at that time.

Note 1 under this section clarifies that regulation 5.19C of the Regulations includes additional requirements for an investment to be a complying significant investment.

Note 2 under this section clarifies that the primary criteria for a Subclass 188 (Business Innovation and Investment (Provisional)) visa (Subclass 188 visa) in the Significant Investor stream include a minimum total amount for the investment that is required to be made on or after the time of application to satisfy the criteria for grant of the visa (see subclause 188.252(1) of Schedule 2 to the Regulations).

Note 3 under this section clarifies that primary criteria for a Subclass 188 visa in the Investor stream include a minimum total amount for the investment that is required to be made on or after the time of application to satisfy the criteria for grant of the visa (see subparagraph 188.244(2)(b)(ii) of Schedule 2 to the Regulations).

Note 4 under this section clarifies that if an investment is based on one or more other investments, regulation 5.19C of the Regulations and the instrument apply to the other investment or other investments in the same way, to the extent practicable.

Section 7 – Value of required investments

Section 7 sets out the value of required investments across capital funds, emerging companies investments, and balancing investments.

In particular, subsection 7(1) specifies that the investment must include:

  • at least 20% of the total investment in 1 or more venture capital funds in accordance with section 9; and
  • at least 30% of the total investment in emerging companies investments in accordance with section 10.

Subsection 7(2) specifies that any remaining portion of the investment must be invested in any of the following:

  • 1 or more venture capital funds in accordance with section 9;
  • Emerging companies investments in accordance with section 10;
  • 1 or more balancing investments in accordance with section 11.

Subsection 7(3) specifies the value of required investments for applicants who were invited to apply for a Subclass 188 visa if the invitation is made before 1 July 2021, and applicants who applied for a Subclass 888 visa where the applicant was invited to apply for a Subclass 188 visa before 1 July 2021.

Section 8 – Timing of required investments

Section 8 sets out the timing of the required investments to be made on or after the time of the application of the relevant visa.

Section 9 – Venture capital fund investments

Section 9 specifies requirements under venture capital fund investments, where applicants must meet certain requirements in relation to timing, the agreement being entered into with a general partner of a venture capital fund(s) and the amount that must be held.

In particular, subsection 9(1) provides that investments made by the investor in a venture capital fund or funds must comply with the requirements outlined in this section.

Subsection 9(2) provides for the initial investment requirements between the time the application for the investor’s visa and the time that is 6 months after the investor has been granted a visa.

Subsection 9(2A) provides the initial investment requirements relating to venture capital fund investments for applicants who were invited to apply for a Subclass 188 visa, between the time of the application for the investor’s visa and the time that is 12 months after the investor has been granted a visa.

Subsection 9(3) provides for the minimum investment amount an investor must hold at the time a decision is made on the investor’s visa application.

Subsection 9(3A) further provides the minimum investment amount an investor must hold at the time a decision is made on the investor’s visa application for applicants who was invited to apply for a Subclass 188 visa or who have applied for a Subclass 888 visa before 1 July 2021.

Subsection 9(4) provides for investment requirements while the investor’s visa is in effect.

Subsection 9(5) provides for circumstances where an investment in a venture capital fund is realised before the investor’s visa ceases to have effect. In this case, the amount realised from the investment must be reinvested in accordance with paragraph 9(5)(a), or (b), or (c).

Subsection 9(6) provides that where an investment in a venture capital fund is reimbursed, in whole or in part, before the visa ceases to have effect, the amount reimbursed must be reinvested in another venture capital fund or funds.

Subsection 9(7) outlines circumstances in which investment is reimbursement (see subsection 9(6)).

The note under subsection 9(7) refers to subregulations 5.19C(7) and (8) of the Regulations for the allowable period during which funds may be transferred from one investment to another.

Section 10 – Emerging companies investments

Section 10 sets out the requirements for an emerging companies investment, where an investment must be through one or more managed investment funds, and must comply with all the requirements set out in this section.

Subsection 10(1) provides that an emerging companies investment is an investment in accordance with this section.

Subsection 10(2) provides that an investment must:

  • be invested through one or more managed investment funds; and
  • comply with the requirements of this section at any time.

Subsections 10(3)-(5) set out requirements for permitted investments.

Subsection 10(6) provides for the amount of market capitalisation of an investment in securities of a company or managed investment scheme.

Subsection 10(7) provides for the total value of investments required in Australian non-ASX quoted securities.

Subsection 10(8) provides for the total value of investments required in unquoted Australian securities.

Subsection 10(9) provides for the total value of investments required in foreign quoted securities.

Subsection 10(10) provides that an investment must be maintained in securities issued by 20 or more different issuers from a time that is 3 months after the first investment is made by the managed investment fund.

Subsection 10(11) provides the minimum percentage of investments issued by a particular issuer.

Subsection 10(12) provides for auditing requirements applicable to emerging companies investment components of the complying investment framework.

Section 11 – Balancing investments

Section 11 sets out the requirements for a balancing investment, where investments must be made in one or either of form of security, bonds or notes, annuities, Australian real property, cash held by an Australian authorised deposit-taking institution (ADI), or derivatives.

Subsection 11(1) provides that a balancing investment is an investment of an investor’s funds in accordance with this section.

Subsection 11(2) provides that an investment must:

  • be invested through one or more managed investment funds;
  • comply with the requirements of this section at any time.

Subsection 11(3) sets out requirements for permitted investments.

Subsection 11(4) provides for auditing requirements applicable to balancing investment components of the complying investment framework.

Section 12 – General requirements

Section 12 sets out the requirements for an investment made through a venture capital fund or a managed investment fund.

Subsection 12(1) provides that the requirements under this section apply to an investment made through a venture capital fund or a managed investment fund.

Subsections 12(2)-(5) outline Australian financial services licence requirements.

Subsection 12(6) provides for requirements relating to funds under management in Australia.

Subsections 12(7)-(8) provide for requirements applicable to investment by a managed investment fund in Australian residential real property, including any Australian land zoned for residential use.

Subsection 12(9) provides requirements for when an investment may be made in a derivative.

The note under this subsection clarifies that hedging of currency and interest rate risks will be permitted under this subsection, but not capital guarantee products.

Subsection 12(10) provides requirements for managed investment fund investments in cash held by Australian authorised deposit-taking institution.

Subsection 12(11) provides requirements for managed investment fund and venture capital fund investments.

Section 13 – Allowable non-compliance period

Section 13 sets out the allowable non-compliance period where an investment is taken not to breach the requirement during the period starting on the first day of the breach and ending at the earlier of:

  • the day the breach is remedied; and
  • the day that is 10 business days after the first day of the breach.

The note under this section refers to subregulations 5.19C(7) and (8) of the Regulations for the allowable period during which funds may be transferred from one investment to another.

Schedule 1 – Repeals

Item 1 of Schedule 1 to the instrument, read together with section 5, repeals the Migration (IMMI 15/100: Complying Investments) Instrument 2015. This instrument would otherwise sunset on 1 October 2025 by effect of section 50 of the Legislation Act.

 

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.