Cyprus sets its sights on more companies, jobs and foreign talent

Cyprus is preparing a new strategy to attract international companies and skilled professionals, with the government aiming to secure Cabinet approval by December and begin implementing the plan in 2027. The revised Business and Talent Attraction Strategy for 2027 – 2030 is intended to encourage new investment, help established companies expand and strengthen the contribution of international businesses to the Cypriot economy. Energy, Commerce and Industry Minister Michalis Damianos outlined the government’s intentions during the first consultation workshop, held this week, bringing together businesses, universities, banks and public authorities. According to the ministry, Damianos stressed the importance of developing the strategy in close cooperation with investors and other interested parties, rather than drawing up measures without consulting the businesses expected to benefit from them. A central part of the government’s approach is the Business Support Centre, which provides assistance to local and international investors looking to establish or expand operations in Cyprus. The centre, which began operating in May 2025, incorporates the Business Facilitation Unit, originally established in 2022 to simplify administrative procedures and help companies navigate registration, licensing and employment requirements. The revised strategy builds on the framework introduced in 2022, which sought to make Cyprus more competitive through investment incentives, easier recruitment of skilled professionals from outside the EU and more efficient business registration procedures. The latest initiative also comes as Cyprus faces growing pressure to turn foreign investment interest into lasting economic activity. According to the EY Cyprus Attractiveness Survey 2026, 83 per cent of international investors surveyed considered the island an attractive investment destination, while 62 per cent of businesses already operating in Cyprus planned to expand over the following 12 months. Nevertheless, high energy costs, bureaucracy and access to finance continue to present difficulties for investors, making the effectiveness of government support an important consideration for companies deciding whether to establish or enlarge their presence on the island. During Monday’s workshop, ministry permanent secretary Marios Panayides presented progress under the existing strategy, explained the role of the Business Support Centre and outlined the proposed framework for 2027 – 2030. Representatives of companies operating in Cyprus, universities and banking institutions attended, alongside officials from government ministries and Invest Cyprus who participate in the technical committee responsible for reviewing the strategy. Their feedback will be used to develop specific measures reflecting the practical needs of businesses, with the government seeking wider benefits for employment, investment and economic growth. Consultations will continue on Thursday, October 29, when a second workshop will bring together chambers of commerce, professional associations, organised business groups and professional services companies. The government intends to incorporate the findings of both workshops into the final proposal, which is scheduled to reach the Council of Ministers in December 2026. The consultation forms part of the government’s established dialogue with the business and investment community, introduced at the initiative of President Nikos Christodoulides. The proposed measures have not yet been finalised, leaving the details of the new strategy to emerge from the consultation process.