It is no coincidence that according to the latest report by the Institute for Management Development for the Global Competitiveness Center 2020, Cyprus' ability to attract and facilitate foreign direct investment and the adaptability of its policies have yielded remarkable results. for the Business Attraction Strategy the President of the Republic, Nikos Anastasiadis.
In particular, as he noted, Cyprus has been declared the most improved country, rising eleven places and taking 30th place in the world. “The above results clearly show that over the years Cyprus has become a key destination for international business and investment in the region, with significant potential to become a world-class hub. However, we are not complacent and that is why we have prepared this new Strategy, which will enter into force on 1 January 2022, by providing new incentives for either existing companies wishing to expand their operations or new ones. companies wishing to operate in Cyprus “, he said in front of 100 foreign companies and investors based in Cyprus, at the event that aims to present the recent action plan and the strategy of the Government both to attract international companies and companies and to expand of the activities of companies already established on the island.
12 actions in five pillars
According to the President of the Republic, the Strategy includes 12 targeted actions in five pillars and takes into account best practices from other European countries, with the ambition to turn Cyprus into a sustainable business and commercial center in our wider region, and in Europe.
“Emphasis is placed on areas related to, inter alia, High Technology, Shipping, Innovation, Research and Development, without, and I would like to emphasize this, excluding any companies or enterprises that choose Cyprus as a country of their activities. A strategy that will be fully in line with our Long-Term Development Strategy of 2035, the new productive model for the future, the guidelines of the European Commission and the objectives of the Recovery and Sustainability Fund “, he added.
“The implementation of the Strategy and the establishment and operation of international companies in Cyprus will offer high and sustainable added value to the economy, through the creation of new jobs and increased demand for domestic services, but will also help redefine the country's development model.
At the same time, it is expected to positively strengthen an emerging and high-yield sector of the economy, that of University Education, as it will gradually lead to the alignment of education and training with the requirements of the economy and the labor market “, said the President of the Republic, noting that “In recent years, several international companies with high added value have chosen Cyprus as a country of operation, residence and employment, appreciating the comparative advantages offered by Cyprus, such as:
Its talented human resources, its geographical location and easy access to the markets of Europe, the Middle East and Africa, its strong European legal framework, its transparent tax regime and the various support services it offers “.
Referring to the new Strategy, which will enter into force on January 1, 2022, by providing new incentives either for already established companies wishing to expand their activities or for new companies wishing to operate in Cyprus, he said that these incentives include, inter alia, the following:
The conversion of the existing Rapid Business Activation Mechanism into a Business Facility Unit, with a central point of contact for businesses and digitization of procedures. The review, expansion and simplification of the policy for the employment of highly qualified human resources and support staff from third countries, as well as the right to family reunification. Simplifying and speeding up the process for granting long-term resident status. The introduction of the Visa for Digital Nomads for third country nationals who are self-employed or employed and working remotely with employers / clients outside Cyprus, through the use of information and communication technologies. New tax incentives for existing or new employees not based in Cyprus, as well as for investments in innovative companies and for research and development. The right to apply for naturalization after five years of residence and work in the Republic, instead of seven, as is the case today.