Cyprus is strategically situated to serve the most valuable trading position between Europe, Asia and Africa.
Cyprus enjoys a stable socioeconomic infrastructure and it promotes both national and international trade and commerce. Cyprus became a member of the EU on 1st May 2004 and thus the limitations related to the minimum level of investment and foreigners’ participation percentage have been abolished. The end result is a modern and thriving economy and a perfect gateway for businesses to penetrate and explore new markets.
Cyprus has developed a significant number of bilateral treaties for the avoidance of double taxation with over 47 countries, ensuring that the same income is not taxed in more than one country. Cyprus is in the stage of negotiating the conclusion or awaiting ratification of Double Taxation Agreements with several more countries.
Why Choose Cyprus
- democratic country with free market economy
- member of European Union (since May 2004)
- typical Mediterranean climate with warm and sunny days, beautiful beaches and cool mountains, many places of interest, and especially the famous Cyprus wine and food
- excellent telecommunications – direct dialing to over 200 countries
- modern and efficient legal, accounting and banking services based on English practices
- favorable tax regime
- double tax treaties with 47 countries
- bilateral investment agreements with more than 18 countries
- low set up and operating costs
- highly qualified managerial, clerical and technical staff
Investing in Cyprus
Τhe Republic of Cyprus became a full member of the EU on 1st May 2004. In 2008 Cyprus joined the European Monetary Union. Consequently it promotes Foreign Direct Investment opportunities in the priority economic growth sectors.
The Capital Movement Law 115(I)/2003, which came in force at the same time that Cyprus has joined the EU, has liberalized the Foreign Direct Investment (FDI) Policy not only for EU citizens but also for investors from third countries in most sectors of the economy as from 1st October 2004. Limitations related to the minimum level of investment and foreigners’ participation percentage have been abolished, in most sectors of the economy, allowing for up to 100% equity participation, in registering companies or acquiring shares in existing companies. The Central Bank of Cyprus has issued a number of regulations to all the banks in Cyprus in accordance with the Exchange Control Act, Cap. 199 and the Capital Movement Law 115(I)/2003.
However, there are some restrictions with regards to the non-resident participation, for example the acquisition of property (The Acquisition of Real Property (Foreigners) Law, Cap. 109) by non-EU investors.
Trading of shares by non-EU nationals on the Cyprus Stock Exchange (CSE) is as easy as on any modern stock market. Foreign investors are subject to the same rules and regulations of the Cyprus Stock Exchange as Cypriots or other EU nationals, regarding capital distribution.
Article 10 of the Capital Movement Law 115(I)/2003 allows for direct investments in Cyprus by non-EU nationals. Additionally, according to Article 11, the participation of Non-EU investors requires the prior approval of Minister of Finance which is an easy procedure to follow.
ADVANTAGES OF CYPRUS
Cyprus is a popular tourist, business, education and retirement destination. With a landmass of approximately 9, 3 thousand square kilometers (km2), it is the third largest island in the Mediterranean, after Sardinia and Sicily of Italy. The island lies between Europe, Africa, and Asia which makes it a natural hub for business and trade.
- Multicultural population
- High standard of living.
- Secure and safe place
- Very low crime rate.
- Life expectancy:77.8 years
- Exclusive golf resorts
- High quality tourist facilities.
- Cyprus: 5th best place to relocate (by Knight Frank Global Lifestyle Review).
CLIMATE AND ENVIROMENT
- Pleasant climate
- Dry summers/ mild winters
- 300 days of sunshine a year.
- Cleanest beaches in Europe
- Largest number of blue flag beaches per coastline in the World.
- State schools
- Private English speaking schools – high level of education.
- Reputable state institutions and private universities of higher education.
- Secured endorsement of the diplomas by U.K. and US educational establishments.
- External degree programs and professional examinations.