Finance Minister Keravnos dismisses fears of multinational exodus from Cyprus

Economy financetaxTop News Finance Minister Keravnos dismisses fears of multinational exodus from Cyprus Keravnos Etaireies Relevant News Kyrenia boat disaster: Filo Jet captain ignored engine and rudder faults, court hears 3 September 2026 Finance Minister Keravnos dismisses fears of multinational exodus from Cyprus 3 September 2026 Driver hospitalised after students empty fire extinguisher on school bus 3 September 2026 newsroom 3 September 2026 FacebookXWhatsAppEmailPrintViber There is no sign of American-interest multinational companies leaving Cyprus over Cyprus’s revised legislation, which imposes a minimum tax rate on multinational groups under the OECD’s Pillar 2 framework, Finance Minister Makis Keravnos said at midday on Thursday. The only thing Cyprus has actually seen, he said, is a rise in foreign company registrations. The minister said Pillar 2 does not impose a 15% tax on all businesses in Cyprus, but concerns only very large groups, multinational and domestic, with annual revenue of 750 million euros. “Nor does this mean these companies will pay an additional 15% tax. It means that, where the effective tax rate, which in Cyprus is 12.5%, falls short of 15%, the difference is paid, up to a minimum level of 15%,” he added. This is not a decision Cyprus took on its own, according to Keravnos, but part of an agreement between the OECD, the G20 and the EU on a global minimum tax, which has been incorporated into EU law and which Cyprus is obliged to align with. He stressed: “The government has no information about any possible departure of companies to set up in other EU member states, nor are there any objective reasons that would justify such a development.” He noted that a small number of EU countries, those with fewer than 12 parent multinational companies based there, are temporarily exempt from the legislation until 2029, adding that from 2029 all countries will fall under the same regime. “Cyprus will continue to have a favourable tax environment, with favourable investment incentives, and the significant advantages that stem from its strategic position will continue to exist. There is no concern at all,” he continued. According to the Finance Minister, around 2,000 such companies operate in Cyprus. “We have a competitive investment and tax environment. Cyprus’s strategic location takes on particular importance for these businesses, alongside the high-level services we offer,” he pointed out. He closed with a pointed remark, saying the leaking of these particular concerns stems from isolated voices which, he said, “if they are not serving personal interests, stem from certain obsessions.” Subscribe to our Newsletter Latest News Kyrenia boat disaster: Filo Jet captain ignored engine and rudder faults, court hears Driver hospitalised after students empty fire extinguisher on school bus Christodoulides-Erhurman meeting set for September 9, Holguin to visit Suspect grinds through kiosk door, grabs payment machine in Limassol MPs push for tighter bank checks on welfare recipients’ gambling Two Palestinian teenagers killed in West Bank settler, army attack Putin says peace deal possible but Ukrainian attacks complicate talks Follow en.philenews on Google News and be the first to know all the news about Cyprus and the world.