Supplemental Citizens: The Supply of Dual Citizenship in Estonia, Latvia, and Lithuania

Abstract

This paper examines why Baltic countries supply citizenship to dual nationals. Can dual citizens act as supplementary citizens and provide greater benefits than costs to a country? The Baltic countries of Estonia, Latvia, and Lithuania provide a natural study for this question because Latvia has a liberal dual citizenship policy, Lithuania has a moderate dual citizenship policy, and Estonia has a conservative dual citizenship policy. One measured benefit is the amount of remittances a country receives. There is a correlation between more liberal dual citizenship and greater remittances. However, remittances may not be as important for a country that has other avenues of income and greater security concerns. Estonia differs from Latvia and Lithuania in that it benefits from its proximity to Finland and markets itself as an e-country offering e-Residency. Estonia, the country with the lowest population decline and the greatest income has the most conservative dual citizenship policy.