Cyprus is the third largest island in the Mediterranean, ideally situated at the crossroads of the busy shipping and air routes linking three continents, Europe, Asia and Africa. The island’s rich history dates back more than 10,000 years, and it has since developed into a modern, thriving European Union state, offering a plethora of opportunities for economic growth and an enviable quality of life.
The island is considered to be a true business hub, boasting an array of investment opportunities in key growth sectors of the economy. Its modern, free-market, service-based economy and effective and transparent regulatory and legal framework, as well as its advanced infrastructure and strategic location all contribute to offering international investors and domestic businesses the confidence to invest, grow and thrive.
As a member of the European Union, Cyprus also ensures safety and stability for investors seeking investment opportunities in the EU, and allows market access to more than 500 million EU citizens. Capitalizing on these competitive advantages, Cyprus is continuously improving and enhancing its business environment, making the island a destination of choice for doing business.
Cyprus provides a unique combination of favorable participation exemption provisions on income emanating from international activities and applies a wide network of double tax treaties and zero withholding taxes on any type of payment made anywhere in the world.
Corporation tax is 12.5%. Cyprus is a highly favorable destination for non-dom tax residency (exemption from dividends, interest, sales of security).
(Among smaller Countries, 5th worldwide)
(World Economic Forum Report 2015-2016)
(out of 23 countries)
(Europe, out of 44 countries, 42 globally out of 178)
(out of 144 countries)
While Greek is the island’s official language, Cypriots are highly educated and multilingual, with more than 80% speaking English or another foreign language
Cyprus boasts the 2nd highest tertiary education attainment rate in the EU, with 8 universities and 28 English speaking schools.
Cyprus is an investment hotspot, with ongoing large-scale infrastructure projects and a thriving oil and gas sector cementing the island’s position on the investment map
Cyprus boasts a highly advantageous EU approved tax regime, which includes corporate tax of 12.5%, 60 double taxation treaties, non-domicile principles and 0% inheritance tax.
Large-scale projects, privatisations and a burgeoning oil and gas sector are firmly placing Cyprus on the map as a hotspot for investment. Attracting foreign direct investment is at the heart of the Government’s policy. It is committed to creating optimal conditions for businesses to flourish by simplifying administrative procedures, improving the tax framework, guaranteeing an open and transparent legal system and eliminating internal barriers.
Cyprus has seen considerable GDP growth for eight consecutive quarters, a result of the new incentives as well as increased activity in tourism, trade, manufacturing and real estate.
Cyprus offers a tax efficient company domicile within the EU and is also emerging as an attractive location for fund managers and promoters. The number registrations of new companies has seen a solid increase since 2014.
Tourism has long been a driving force of the Cypriot economy and arrivals as well as revenue have recently seen record-breaking numbers. Tourism arrivals are forecast to increase by 82% and revenue by 185% by 2030.
First-ever luxury casino resort licensed
Huge oil and gas reserves founds in its exclusive economic zone. Reserves have been estimated to be worth 300% to 3000% of GDP.
Cyprus has always been a magnet to foreign homebuyers due to its plethora of business and lifestyle advantages. Over the past few years the real estate market has seen significant growth, fuelled by a number of factors including the introduction of non-domicile status, additional tax incentives, the relocation of high-level staff, developments in the energy sector, highly attractive immigration programs and of course early investors who recognize the island’s significant growth potential. Real estate transactions have been consistently and considerably rising for the past three years, as reflected in the figures below.