Cyprus Business Now: banks, shipping, Leptos group, CySEC, unemployment

Leptos Group is placing branded residences, large-scale seafront developments and international partnerships at the centre of its latest push to promote Cyprus as a more outward-looking investment destination. According to its announcement, the group, which has been active for more than six decades, said its work across real estate development, hospitality, education and healthcare continues to support the country’s international positioning, while strengthening its competitiveness in global markets. The company pointed to Limassol Del Mar as one of the projects that helped reshape the modern image of the city, describing the seafront development as a revolutionary project for Cyprus standards and one of Cyprus’ most iconic architectural landmarks. Rising directly on Limassol’s seafront, the project introduced a new benchmark in architecture, design and lifestyle infrastructure, while also contributing significantly to the redevelopment and international image of Limassol. Cyprus’ Tax Department is preparing a wave of extensive inspections in businesses operating in coastal areas during July and August, as part of measures introduced under the government’s tax reform programme aimed at tackling tax evasion. According to a report released on Tuesday by Philenews, the inspections will primarily target businesses whose activity peaks during the summer season and which are located in areas attracting large numbers of tourists. Companies found to be violating tax legislation could see their premises sealed until their owners comply with the law. The checks will focus on two fronts, namely outstanding tax debts and the issuance of receipts. Under the new legal framework, which came into force on January 1, 2026, businesses, legal entities and individuals with tax debts exceeding €20,000, as well as companies failing to issue receipts, may be subject to temporary closure. The Bank of Cyprus (BoC) has introduced a new feature for cardholders that allows customers to view the location of merchants in real time for every payment made through the bank’s cards. The enhancement is available through the BoC Mobile App and Internet Banking, providing users with more detailed information about their transactions. According to the bank, the new functionality is designed to make payments more transparent, easier to identify and simpler to verify. The bank explained that the enriched transaction history gives customers a more complete picture of each movement on their accounts. The Red Sea has returned to the centre of global shipping concerns, as renewed Houthi threats and the escalation between Israel and Iran raise fresh fears over supply chains, energy flows, inflation and global trade. What was already one of the world’s most volatile maritime routes is now being viewed with renewed concern, not only because of the threat to individual vessels, but because of the wider pressure it could place on transport costs, freight rates and consumer prices. The Red Sea crisis has also brought renewed attention to the Bab el-Mandeb Strait and the Suez Canal, one of the main corridors linking Asia with Europe and the Mediterranean. Containers, oil, liquefied natural gas, raw materials, food, industrial products and spare parts all move through the route, meaning that any disruption there quickly becomes a concern for the wider economy rather than shipping alone. A delegation from the Association of Cyprus Banks (ACB) spent the past two days in Brussels, where it presented the positive performance of the Cypriot economy and banking sector to a number of professionals, authorities and organisations. According to a report by Politis, the delegation included ACB director general Marios Skandalis, Bank of Cyprus deputy chief executive Charis Pouangare, Eurobank Limited Cyprus deputy chief executive Haris Hambakis, and Alpha Bank Cyprus chief executive Miltos Michaelas. During a presentation held at Bloomberg in Brussels, participants discussed the trajectory of the economy and developments within the banking sector. Particular emphasis was placed on the improvement and stability of Cyprus’ banks, despite ongoing geopolitical uncertainty, increasing supervisory requirements, regulatory changes and the rapid pace of technological developments. Ten bounced cheques, with a total value of €32,026, were registered in the preliminary list of the Central Information Register (CIR) in May, according to data released by the Central Bank of Cyprus (CBC) on Wednesday. All ten cheques concerned three legal entities, the data showed, pointing to a relatively limited number of issuers behind the monthly total. Since the beginning of the year, 69 bounced cheques, worth €210,502, have been registered in the archive. These involved 32 legal entities and 12 natural persons. Compared with the corresponding period of last year, the number of bounced cheques has fallen by 32 per cent, while their total value declined by 12.8 per cent. Cyprus-headquartered gaming company Strikerz Inc. CEO and co-founder Eugene Nashilov has said the company wants UFL Mobile to become one of the world’s top three football games, as the free-to-play title moves deeper into its global soft launch and prepares for a wider rollout later this year. Speaking to GamingonPhone, Nashilov presented UFL not as a short-term alternative to the football gaming giants, but as a long-term project shaped by accessibility, player feedback and a desire to bring something different to a market he believes had become too predictable. “Our ambition is to become one of the top three football games,” he said, adding that while football gaming is already established, Strikerz wants UFL to be recognised “among the top three in the eyes of the audience”. He added that “there’s still a lot of work ahead of us to achieve that,” but said the company’s “ultimate goal is to stand alongside the industry’s leaders and compete at the highest level”. Cyprus this week marked a major milestone in artificial intelligence and high-performance computing, with the Cyprus Information Technology Enterprises Association (CITEA) saying that the launch of new national infrastructures opens fresh opportunities for research, innovation and entrepreneurship. The association said the rollout of the country’s new artificial intelligence and high-performance computing capabilities, together with the AI Factory Cyprus and Pharos-CY initiatives, represents an important step towards the future. According to CITEA, the development demonstrates that Cyprus is capable of moving quickly and decisively in strategically important sectors. The association said this approach should become the norm rather than an exception. The Cyprus Securities and Exchange Commission (CySEC) has announced a series of decisions affecting investment firms and funds, including the withdrawal of licences and the commencement of liquidation procedures for several registered alternative investment funds. The most recent decision concerned TTCM Traders Trust Capital Markets Ltd, whose Cyprus Investment Firm (CIF) authorisation number 107/09 was withdrawn following a decision taken by CySEC on May 14, 2026. According to the regulator, the company had expressly requested the renunciation of its licence. Limassol-headquartered Muse Group, a global leader in music education and technology, has announced the start of a new phase in its development following the conclusion of a two-year investment partnership with Francisco Partners. The investment firm, which first acquired a minority stake in the company in 2023, has now successfully exited its investment. During the partnership, Muse Group expanded its international presence, strengthened its technological capabilities and completed the transformational acquisition of Hal Leonard. The company also reported consistent performance across its portfolio of brands. The transaction marking the conclusion of the partnership was supported by senior credit facilities arranged by J.P. Morgan and the company’s existing cash reserves. Founder and chief executive Eugeny Naidenov remains the majority owner and retains control of the company. The Cyprus Cement Public Company Ltd announced on Wednesday that it purchased 1,580 of its own shares at a price of €1.31 per share. According to the relevant filing, the total value of the transaction amounted to €2,061.90. This action was carried out through ProChoice Chrimatistiriaki Ltd as part of the company’s capital management strategy. The firm informed the investing public of this move in accordance with the relevant regulations of the Cyprus Stock Exchange (CSE). The National Bank of Greece (Cyprus) announced on Wednesday that the European Central Bank (ECB) has approved the appointment of Andreas Persianis as an independent non-executive member of the bank’s board of directors on June 8, 2026. The bank mentioned that Persianis possesses more than 30 years of international experience in financial markets, with specialisation in corporate strategy, banking, and asset management. “Throughout his professional career, he has held senior management positions in international organisations, gaining extensive experience in matters of strategic development, investments, and corporate governance,” it stated. “The National Bank of Greece in Cyprus welcomes Persianis to its board of directors,” the company added. Cyprus recorded an unemployment rate of 4.4 per cent in 2025, according to new Eurostat data, placing the island well below the EU average of 6 per cent. The figures, covering people aged 15 to 74 in the labour force, showed a slight increase across the European Union compared with 2024, when the rate stood at 5.9 per cent. Across the bloc, Spain registered the highest unemployment rate at 10.5 per cent, followed by Finland at 9.7 per cent and Greece at 8.9 per cent. At the other end of the scale, the lowest jobless rates were recorded in the Czech Republic at 2.8 per cent, while both Poland and Malta stood at 3.1 per cent. Greek lender Eurobank S.A. on Wednesday announced the official commencement of a new share buyback programme, following the receipt of necessary regulatory approvals. The initiative was formally authorised by shareholders during the annual general meeting held on April 28, 2026, and subsequently approved by the European Central Bank (ECB) on June 8, 2026. The share buyback programme concerns the acquisition of up to 363,151,080 shares, which represents a maximum of 10 per cent of the paid-up share capital of the bank. The acquisition price per share has been set with a minimum of €0.22 and a maximum of €10.00. The Cyprus Stock Exchange (CSE) announced on Wednesday the listing of 1,440,000 additional ordinary shares of Solidus Securities, each with a nominal value of €1.00. This listing, conducted in accordance with Article 58(1) of the Securities and Cyprus Stock Exchange Law, also includes the simultaneous registration of these shares in the Central Depository and Registry. The new shares were issued following the capitalisation of earnings and were distributed to existing shareholders for free. Outgoing Cyprus Fiscal Council president Michalis Persianis warned on Wednresday that the current positive trajectory of the economy must be supported by a conscious policy aimed at preserving its fundamental strengths. In his address during the presentation of the annual report for 2025, Persianis stated that while the economy maintains the momentum of the past two years with healthy figures and resilient growth, risks are emerging on the medium-term horizon that could reach a crisis point in the near future. Economic growth remains restrained compared to previous years, yet “the engine of the economy still has steam” despite facing mainly external pressures, according to Persianis. Employment remains at full capacity, and inflation continues to stay within expectations, despite predicted upward pressures during 2026. Demetra Holdings Plc announced on Wednesday that it conducted a series of transactions on June 9, 2026, purchasing 13,364 of its own shares at an average price of €1.66 per share. The repurchase of these shares was executed through the Cyprus Investment & Securities Corporation Ltd (CISCO), as part of the company’s capital management strategy. The firm completed seven separate transactions throughout the session to reach the total volume of shares purchased. The first three transactions involved the acquisition of 288 shares, 388 shares, and 3,000 shares respectively at a price of €1.66 per share. A fourth transaction saw the firm purchase 6,324 shares, also at the price of €1.66 per share.