Top 10 Reasons to Invest in Cyprus
EU & Eurozone
Cyprus is a European Union Member since May 2004, and an Economic and Monetary Union Member since January 2008. Foreign investors have the opportunity to access the EU market and vice versa.
Quality of Life
Cyprus offers a brilliant environment with a very comfortable standard of living. Living and working in Cyprus is combined with the island’s wonderful weather, beautiful nature, safety, security, art and culture, and above all, hospitable people. Cyprus combines the international competitive business environment with a pleasurable and balanced way of life. The UNDP Human Development Index Report 2013 ranked Cyprus 31st out of 187 countries for the quality of life. The Knight Frank Report ranked Cyprus in 2013 as the 5th better place for Lifestyle among major European Cities and other competitive destinations. The report was also published in the Financial Times on October 2013. Last but not least, Cyprus stands out with the cleanest sea waters in Europe according to the European Environment Agency.
The country provides a simplified, effective and transparent tax regime that is fully compliant with EU laws and regulations.Dividend income, profits from overseas permanent establishments and profits from the sale of securities are exempt from tax. Also, there is no withholding tax on dividend, interest and royalties paid from Cyprus. Cyprus has a network of double taxation agreements with more than 50 countries. For a complete listing please visit the Ministry of Finance Double Taxation Agreements Section. Additionally, Cyprus has access to EU Directives that focus on reducing or eliminating foreign withholding taxes.
Residency and Citizenship
Non EU residents have the opportunity to acquire a permanent residency permit with the purchase of a private home of at least 300,000 EUR and deposits of minimum 30,000 EUR in a local bank for three years. Non EU residents can acquire the Cypriot nationality with: investment of minimum 2M EUR in a state company and 500,000 EUR investment in the Research and Technology fund; direct investments of 5M EUR; bank deposits of 5M EUR in a local bank for five years; payments of income tax or VAT of more than 500,000 EUR.
Ease of Doing Business
Cyprus has developed into an international quality business center that offers specialized services and rewarding business opportunities catering for the diverse needs of international investors, enhancing the ease of doing business.The World Bank’s Doing Business Report 2014 ranked Cyprus 39th out of 189 Economies and 16 out of the EU28 for the ease of doing business. Forbes Magazine 2012 Best Countries for Doing Business Report ranked Cyprus 25th out of 144 countries.
The legal system is based on common Law principles and aligned with EU laws and regulations. Cyprus provides quality legal services in areas such as international law, corporate administration and management services. Most large legal firms are affiliated or collaborate with international law firms.
Cyprus has a robust telecommunications system, two international airports (Larnaca and Paphos International Airports) and two ports (Limassol and Larnaca ports). In addition, the relatively small distances make the island very friendly and easy to get around any location.
Value for Money
Cyprus is a dynamic business center that offers relatively lower operating costs while also providing top quality services, including accounting, auditing, tax, business administration, legal, investment and funds management.
Statistics conducted in 2013 demonstrate that 39,2% of Cypriots in the 25 – 65 age group have acquired tertiary education – higher than the EU28 average of 28,63% and one of the highest percentage in the world.
Cyprus is Europe’s eastern outpost at the crossroads of three continents– Europe, Africa and Asia. This provides a gateway to and from each one of them.