The Business Attractiveness of Cyprus

The Business Attractiveness of Cyprus

Cyprus offers entrepreneurs and investors numerous advantages to conduct their business affairs globally. The key benefits are:

Cyprus is the only member of the European Union in this part of the world, strategically situated at the crossroads of three continents, serving as Europe’s south-eastern outpost. The island’s unique location has seen Cyprus develop into a major business and services centre in the region, while its small size provides it with the necessary flexibility.

Cyprus possesses a highly conducive tax system with a corporate tax rate of only 12.5% (10% before 01/01/2013), the lowest in the European Union and one of the lowest internationally. Cyprus has also signed double tax treaties with over 50 countries.

In addition to the attractive tax system, Cyprus has a liberal foreign direct investment regime allowing up to 100% foreign participation in most sectors of the economy from both EU and non-EU nationals, and also has bilateral investment agreements with 17 countries.

Not only has Cyprus simplified administrative procedures for acquiring the necessary permits, but the set-up and operating costs in Cyprus are also relatively low. The island possesses a highly qualified, well-educated and bilingual labour force (Cyprus ranks among the first countries in the world in terms of university degree holders in relation to the population) and Cypriots are renowned for their entrepreneurial spirit.

There is freedom of movement of foreign currency in Cyprus and the country boasts highly developed infrastructure with excellent telecommunications, ports, airports and road networks.

Cyprus offers Free-zones bonded factories, has modern and efficient legal, accounting, banking, financial and insurance services. The island has a European standard of living, has plenty of foreign schools, a pleasant climate (about 330 days of sunshine per year) and lovely topography.

Cyprus possesses political stability and commitment to the rule of law, secures protection of real and intellectual property and also has one of the lowest crime rates in Europe.