US to Block Startup Visa

The administration of US President Donald Trump said it plans to rescind an Obama-era program that would allow foreign entrepreneurs who launch startup companies in the US to live in the country, in the president’s latest effort to constrict immigration flows.

Known as the International Entrepreneur Rule and favored by many in the technology industry, the program allowed non-US citizens who launched companies that won $100,000 in government grants or received $250,000 in venture capital investment to stay in the US for a renewable 30-month term.

Finalized in the last days of the Obama administration, it was set to take effect on July 17, Bloomberg reported.

But the Trump administration on Monday announced it would delay the program until next March as the Department of Homeland Security launches an additional review of the so-called “startup visa”. A notice issued by the department indicates that in the interim the administration will propose rescinding the program.

The National Venture Capital Association, an industry trade group, criticized the step in a statement. “At a time when countries around the world are doing all they can to attract and retain talented individuals to come to their shores to build and grow innovative companies, the Trump administration is signaling its intent to do the exact opposite,” Bobby Franklin, president and CEO of the trade group, said.